When you’re a teenager, you happen to want a lot of things. Whether that involves cool stuff that your friends have or bigger goals like getting into a good college. Before I tell you how to save money as a teenager, there are a few things I’d like to get out of the way. Saving money for teens is a lot easier than you might think.
Sure, most teenagers don’t have a lot of cash/income, to begin with. But if you start little by little, you’ll thank yourself years later. If you start to save money now, you’ll also get a sense of how to handle money as an adult. But enough talk, let’s get into some money-saving tips for teens.
Open A Savings Account
Opening a savings account is an important way of learning how to save money fast as a teenager. Having a bank account obviously has its benefits, but setting aside a separate one just for savings will be helpful. It doesn’t matter how much you put into this account, but it helps if you have a target of some sort.
For example, if you get $50 to spend every week, calculate how much you need for your spending needs. After that, put the rest into a savings account. You can also set a strict amount of money you want to put aside, but it’s doubtful that you’re getting a consistent amount of income anyway.
Most savings accounts also have an interest benefit, so the longer you let that money sit, the more it will grow. Of course, this depends on the monthly fees and other charges your bank takes from your account. I recommend a lot of research before you open this savings account to find the right bank for you.
Money management for teens is important, so here’s another tip: Try not to touch the money in your savings account. We call it a savings account for a reason, only withdraw that cash when you absolutely need to or when you’ve reached your goal.
Always Remember Your Goals
This is something that applies to almost everything in life, whether it’s personal finance or personal development. Once you have a savings account, it’s time to set your goals. Most likely you clicked on this guide because you want to buy something expensive, or save money for future endeavors.
Saving money for something expensive won’t be easy, so how can a teenager manage their money? Well, personal finance is something you will have to learn. Try to understand the difference between essential items and luxury items.
The next time you want to buy something expensive, take a step back and think if it’s really that important. Weight the pros and cons. If you can get by without that purchase, save money for that expensive object you desire. This is the best advice anyone can give when it comes to saving money.
Find A Part-Time Job
As a carefree young adult, finding a part-time job can be boring for money. But nothing in this world can come about without hard word, and that just so happens to include part-time jobs as well. There are a lot of things you can find to do as a young adult to get some extra income and save money towards your goals.
Go to your local mall, shops, and stores to see if they have any openings for a retail job. It sounds a bit old school, but usually, the shifts aren’t that bad to work with. If you can find something you’re even mildly interested in, that’s even better. For example, if you are a tech enthusiast, find a job in a computer store or something similar.
You can also do a lot just from home. If you are the creative type and interested in design, try digital illustration and graphic design. There are a lot of places where you can sell digital art online too. If you can make logos, try to find a few clients to do that for. You can also write research papers for other kids for a bit of money.
You could also do some housework or extra chores around the house. If not, try to see if there are a few chores you could do for people in the neighborhood.
Always Carry Food And Water With You
This is something probably every young adult has gone through. You get hungry all of a sudden in the middle of class, and then you spend a lot of money on lunch, only to regret it later. Sure, it’s good to treat yourself every once in a while, but excessive spending isn’t going to help.
I’m not saying you shouldn’t eat out at all, but taking lunch with you to school will save you a lot of money. Even if you do it for only a week or two, you’ll be surprised by how much you saved. This is another great way to save money.
You might be thinking saving money isn’t easy, but with a few small compromises like taking your lunch to school will help a lot. Most parents won’t mind helping you out in this regard either. Avoid vending machines too, as you end up spending a considerable amount that you don’t even acknowledge. You’ll save money from that alone, and a good amount too.
I have mentioned personal finance here and there in this article, so let’s explain it quickly. Personal finance is the financial management that you perform to calculate how much you earn, how much you spend, and how much money you save. It is important to sit down for a bit and calculate all of this out to an estimated value.
Seriously, if you can figure out how to save money without mindlessly spending it, you’ll already be ahead of a lot of people. Saving money is something even adults struggle with, so if you can understand your personal finance soon, you’ll be even better at it as an adult.
Another tip for personal finance is keeping track of what you buy. Save all of the receipts you receive, and calculate your spending every month. There are also a lot of great apps for this sole purpose. This will make it much easier for you to calculate your spending habits.
Sell Stuff You Don’t Need
If you want to save money as a teenager, this is a small sacrifice you’ll have to make. Think of all the old stuff you have lying around: old gaming consoles, cartridge, childhood toys, mp3 players, books, board games, etc. Ask your parents to arrange a yard sale, and sell all that stuff you don’t need.
If you like playing games and buy physical disks, sell games you’ve already played before buying new ones. This way you’ll always have some money to buy games too. It’s also much more economical than having a large collection.
Take Advantage Of Coupons
Many large sites like Amazon, Best Buy, and others have huge sales all year round. Try to always be on the lookout for these. If there aren’t any sales, try to hunt down coupons for any purchase you make online. This will save you a lot of money in the long run.
This is especially helpful during the holiday season. A lot of companies have their products on sale, but you can easily find many coupons during the holiday season, and this drives the price down even further. Also, if you want to make any big purchases, try to wait it out for sales like these if you can
Make Use Of Your Student ID
A student ID can prove to be much more important than it actually sounds. A lot of subscription services and sellers offer benefits to students, so make use of them whenever you can. Many clothes retailers also offer a lot of discounts to students.
Apart from that, if you’re thinking of buying any courses online or joining a program, a lot of them are completely free as long as you have a student ID. Always be on the lookout for student discards. Don’t be shy to ask either, as many organizations will be glad to help out students.
Try To Pay With Cash
This isn’t exactly a technical way of saving money, but hear me out. If you have a credit card, you probably usually pay for stuff through that. Well, research shows that people who pay cold hard cash are usually more aware of their spending habits. Now I know you can’t use cash everywhere, especially for online services.
However, whenever you go to a local store, the movies, or even a night out with friends, keep cash with you. The physical feeling of giving money away irks some people for a reason. This is more of a placebo effect than anything, but if it works for you then there’s no harm in trying.
To be completely honest, saving money as a teenager isn’t the easiest thing in the world. But with enough perseverance, you’ll eventually get there. Even if you use a few of these techniques, you’ll be surprised to see that money management for teens isn’t as impossible as some might think.