RICHMOND, Va. (WWBT) - If you have a high schooler, teaching them about budgeting in percentages will be a life lesson they will carry forever.
Cherry Dale, a Financial Coach with the Virginia Credit Union, says to keep it simple. Help them create three categories. Since teens don’t have a lot of living expenses it’s the perfect time to show them how much they can save up.
Maybe it’s 30% to savings, 20% to giving and 50% on whatever they want.
“If you can instill this idea of saving 10, 30 percent automatically when they’re young, it’s going to be much easier to transition to do that as an adult. Once those living expenses come into play,” Dale said.
Keep these categories at a minimum so it is not overwhelming and it is easier to see achievements.
You can go online and look at different charities with them or talk about what they really value. That way they not only learn how to save, but how to give.
Then you can open up savings and checking accounts in their name so they can learn how it works in real-world situations.
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