When your son or daughter graduates from high school, one of the first things he or she needs to start thinking about is money. Often, it’s the first time teens start handling financial matters by themselves. They need to learn how to pay the bills, budget their income, and deal with things such as credit cards and insurance.
Responsible parents want what’s best for their children, and that includes teaching them how to make savvy financial decisions. We offer some steps you should take in order to help your teen learn how to make the best choices when it comes to money.
Create A Budget
After you child graduates from high school, it’s time to talk about expenses and whether you or your teen will be covering items such as room and board, the phone bill, transportation, and insurance. Create a simple spreadsheet by hand or use a budgeting app on a smartphone.
Teens who leave the house are often surprised by the cost of food, particularly if they don’t cook very much and order a lot of takeout. It’s worthwhile for them to practice while living at home first and to remember that items like spices and oils also cost money.