Whether the money comes from a paycheck or an allowance, it is important that you start saving some of that money as soon as possible. It can be tempting to spend all of your money on the things you want now – like a new pair of jeans or a night out with friends. But what will you have left over when you finally find that perfect first car or head off to college?
We have a few tips designed especially to help you as a teen to keep your savings on track so that you can continue to have fun without blowing the bank.
Out of Sight, Out of Mind
Start by putting your money in the bank. Having extra cash in your wallet can make spending it even easier. If you haven’t already, open up a checking account and, if you have a job and your employer offers it, set up direct deposit for your paychecks. Once you have a checking account in place, think about opening a savings account.
Keeping your money in two separate accounts will make it even easier to determine how much you can actually spend each month. If you are earning a paycheck, set up an automatic transfer of a portion of your check to your savings account. Small transfers of $30 to $50 dollars each paycheck will help to ensure that you don’t accidentally dip into your savings.
Track Your Spending
Online banking makes it super easy to see where all of your money is going. It doesn’t matter whether you are 15 or 55, keeping an eye on your monthly spending is the key to saving. Try using your debit card for all of your purchases so you can see where you are spending your money. This is an easy way to spot if you are overspending on clothing, food, or nights out with your friends.
Once you have identified your spending weaknesses, try to cut back in those areas to boost your savings. Ask yourself if multiple trips to your favorite coffee spot each week is worth waiting an extra six months to purchase a car or having to work during your first semester of college.
Sure, it’s easy to cut out the things you don’t need completely – but what about the items you can’t do without? There are plenty of ways to save on the everyday items you are already spending money on.
Good Student Discounts: Talk to your car insurance company to find out if they offer discounts in exchange for good grades. Getting A’s may be doing more than just boosting your GPA.
Downgrade Your Apps: Many apps charge a premium for commercial-free streaming service. Switch to a free or low-cost option. Living with commercials could help you reach your savings goals sooner.
Stick to Wi-Fi: If you’re paying for your own phone, try reducing your data plan. Utilizing home and public Wi-Fi networks can help you save each month.
Clipping Coupons: Sign up for email lists, fill out customer surveys, and ask for student discounts at your favorite retailers. These small steps can lead to major savings.
There are plenty of ways to reduce your necessary expenses. Take advantage of discounts to save hundreds of dollars each year.
Ask for Help
Talk to your family and ask whether they would be willing to help you reach your savings goals. Substitute birthday gifts with cash deposits into your savings account. These small financial boosts can help fuel your savings even if you aren’t bringing in a lot of income.
If you are saving for college, ask your parents whether they would be willing to match your savings. A dollar-for-dollar savings program would mean that the $250 you saved would be matched with $250 from your parents, resulting in double the savings by the time you leave for school.
What if your family can’t help with your savings? No problem. Maybe they know someone in the neighborhood that is looking for a dog walker, someone to mow the lawn, or a babysitter. Put any money earned from such odd jobs straight into your savings account. Keep looking for new ways to keep moving your savings forward.
Start Saving Today
Saving money can be difficult no matter what age you are. As a teen, the most important thing to keep in mind when you first start saving is to always put something aside, whether it’s $5 or $50. Start your path to saving today!
If your family would like further information on how you can start saving with a Bank of Internet USA checking or savings account, our customer service representatives would be happy to help. We can be reached by telephone at 1-877-541-2634 or by email at firstname.lastname@example.org.
"How Do I Start Saving? A Beginner's Guide to Saving Money for Teens"
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