Rachel Langlois of Cyprus Credit Union wants parents to know that teaching your kids proper financial health is easy. A recent survey done by Junior Achievement found 84% of teens look to their parents on how to manage their money. However, most parents say they feel uneasy talking to their children about financial matters. Here are a few of her tips to help you get started. For more advice from the staff at Cyprus Credit Union or to open a savings account for your teen visit CyprusCU.com.
Rember children are just adults in training. Your job is to help them survive on their own.
1) Teach them to Budget
- 70% don’t understand budgeting
- 40% on clothes & food
- When teens outspend earnings, parents take on this debt.
2) Set Saving Goals – less than 40% save
- Long-Term– school, car, travel, etc
- Pay a portion of perks, such as phones.
Help them practice delayed gratification.
- Offer to match savings
- Have them play around with online calculators. Click Here to find some of Cyprus Credit Unions Calculators.
3) Encourage Entrepreneurship
- Discuss how they can earn money
- Example of EmiJay hair accessories
- 14-year-olds can work in Utah
- Instead of an allowance, pay “business” costs.