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How to Save Money Tips for Teenagers

A little money put away now means a lot later -- it's the difference between buying a few mp3s today and affording a car tomorrow. Save money as a teenager using some basic tips and you'll be glad you did.

Instructions

  • Step 1: Shop for clothes at second-hand shops and adopt a vintage look. Some shops have like-new items you can mix and match to fit your style.
  • Step 2: Having trouble meeting your savings goals? Categorize your expenses as either needs or wants to eliminate second-guessing when you're thinking about making a purchase. Either it's necessary or it's not, and if it's not, think about saving that money instead for something you really want.
  • FACT: In a 2010 Junior Achievement/Allstate Foundation survey of teenage financial literacy, more than half of the participants who don't budget their funds confessed their parents handled their money and 37 percent admitted they had no idea how to manage it.
  • Step 3: Eat more meals at home with your family to save all you can.
  • Step 4: Set a savings goal. Define a target amount of money you want to sock away each week, and then work to meet that objective.
  • TIP: Get a part-time job with flexible hours, like baby-sitting or doing gardening work for your neighbors.
  • Step 5: Don't sign up for a credit card. You don't need a credit card as a teenager, and using credit cards can get you into a load of debt. Use real money so that you always have an accurate financial picture, rather than having to play catch up after you overspend.
  • Step 6: Build good saving habits, which will pay off later. Open a savings account, and follow advice from your parents and teachers on saving money and investing.

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