Teaching Teens to be Financially Responsible? Investing? - Mothering Forums

 
Thread Tools
#1 of 5 Old 11-29-2016, 10:02 AM - Thread Starter
 
Metasequoia's Avatar
 
Join Date: Jun 2005
Location: In the village
Posts: 8,236
Mentioned: 501 Post(s)
Tagged: 0 Thread(s)
Quoted: 478 Post(s)
Teaching Teens to be Financially Responsible? Investing?

My teen girls just opened both checking and savings accounts yesterday. Both girls have saved up quite a bit of money while each working multiple jobs for the last couple of years. My almost 14 year old already has her $1,000 in savings which I've told her not to touch. Neither has their checking linked to their savings and they both have their checking accounts set so that payment will be denied rather than overdrawing their accounts.

I've read Dave Ramsey's Total Money Makeover but I don't think that at almost 14, my younger daughter would have the attention span to read through the entire book yet - maybe my almost 17 year old...

Is there a Dave Ramsey book that you think would be helpful for their ages?

What have you told your teens about handling money responsibly?

So far, I've told them never to acquire debt, never to have credit cards, and never to buy something that they don't have the cash in hand to buy. I've talked about having an emergency fund saved up and what it is and is not for.

While they're young, I'm hoping that they'll start building their emergency funds/nest eggs NOW so that they can go into adulthood already having completed this step.

We've also discussed ways to pay for college so that they don't take out student loans as well as setting aside money to buy a (used) car in the future, if necessary.

I have the newer (2013) edition of TMMO on hold at the library because I think I read only the 2003 (?) edition and I assume the later edition would have different investing suggestions.

Where do YOU invest money? Where do you invest money for your children? After they have their "emergency funds" in their savings accounts, I'd like for them to invest money and to have their money eventually work for them.

Any other thoughts?

Mama
To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.
to Girl 2/00, Girl 1/03, Boy 3/06, Boy 11/10, and Girl! 7/15!
Metasequoia is offline  
Sponsored Links
Advertisement
 
#2 of 5 Old 12-01-2016, 07:31 PM
 
zebra15's Avatar
 
Join Date: Oct 2009
Location: State of Confusion
Posts: 5,837
Mentioned: 35 Post(s)
Tagged: 0 Thread(s)
Quoted: 208 Post(s)
I take a different approach. Ds had a bank account since he was 7/8 years old. Savings is always linked for overdraft protection. He knows about student aid, FAFSA, he knows debt is a 'tool' and debt is not something to be feared.

I don't believe in the Dave Ramsey method. Several of theories are flawed for my own preference. (stopping retirement contribution, paying smallest debt vs highest interest rate etc)

The financial institution we are with has a great education department and online tools for both adults and youth/teens.

Mom to J and never ending 
To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.
 
To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.
  
To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.
  
To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.
2017 the year of peace and tranquility.
zebra15 is offline  
#3 of 5 Old 12-03-2016, 02:19 PM
 
*green*faery*'s Avatar
 
Join Date: Feb 2005
Location: Bellingham, Wa
Posts: 677
Mentioned: 1 Post(s)
Tagged: 0 Thread(s)
Quoted: 5 Post(s)
My kids are a little younger, but my 11yo likes to learn about our budgeting (we use YNAB), we are planning on opening an account for each of them soon. We talk about budgeting and choosing where to spend money, etc. Also, there are some motivating Blogs out there about people who lived way below their means and reached their goals/retired early, etc. We've talked a lot about that!

I also agree that debt should be avoided, however, it has it's place. Consumer debt should be avoided at all cost, but our system is somewhat a game. We have a rewards card we charge as much as we can each month on and pay off monthly. Since everything is budgeted for it works well. We get free hotel rooms every year and our credit is great. Of coarse I only recommend this if you can control your spending


That's great you are teaching your kids! Like most people, I was never taught how to manage money or budget, it took me a long time to figure it out on my own!!

Homeschooling mama to Kylan (10yo), Everest (7yo), Bodhi (3yo), and Meadow (7mo)
*green*faery* is offline  
 
#4 of 5 Old 12-04-2016, 04:48 AM - Thread Starter
 
Metasequoia's Avatar
 
Join Date: Jun 2005
Location: In the village
Posts: 8,236
Mentioned: 501 Post(s)
Tagged: 0 Thread(s)
Quoted: 478 Post(s)
Quote:
Originally Posted by *green*faery* View Post
My kids are a little younger, but my 11yo likes to learn about our budgeting (we use YNAB), we are planning on opening an account for each of them soon. We talk about budgeting and choosing where to spend money, etc. Also, there are some motivating Blogs out there about people who lived way below their means and reached their goals/retired early, etc. We've talked a lot about that!

I also agree that debt should be avoided, however, it has it's place. Consumer debt should be avoided at all cost, but our system is somewhat a game. We have a rewards card we charge as much as we can each month on and pay off monthly. Since everything is budgeted for it works well. We get free hotel rooms every year and our credit is great. Of coarse I only recommend this if you can control your spending


That's great you are teaching your kids! Like most people, I was never taught how to manage money or budget, it took me a long time to figure it out on my own!!
Which blogs do you like about saving money?

Mama
To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.
to Girl 2/00, Girl 1/03, Boy 3/06, Boy 11/10, and Girl! 7/15!
Metasequoia is offline  
#5 of 5 Old 04-21-2017, 01:38 AM
 
secretwrestler's Avatar
 
Join Date: Jul 2014
Posts: 28
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 3 Post(s)
Good thing my son is already thrifty. He's just like that by nature. Here are some things you can try.

http://www.moneycrashers.com/teaching-kids-save-money/
secretwrestler is offline  
Reply


User Tag List

Thread Tools
Show Printable Version Show Printable Version
Email this Page Email this Page



Posting Rules  
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are Off

Online Users: 9,701

13 members and 9,688 guests
Childrenareawesome , girlspn , katelove , lguse , momys1 , moominmamma , nikkizzz , omarinbox1888 , redsally , sciencemum , Springshowers , valerievalira , Whitney Leshay
Most users ever online was 449,755, 06-25-2014 at 12:21 PM.