Want to get better with money but not sure where to start? 🤔
In this week’s blog, we’re sharing some 'money milestone' ideas for teens that will help equip you with the skillset you need to become a financially-savvy adult.
And if you have a teen of your own, why not share this post with them to help them work towards some pretty impressive financial goals?
Keep reading for our top five financial goals/money milestones for teens!
1) Prepare for the Future
We get it - thinking about the future when you're in your teens can feel scary and you'd rather avoid it at all costs.
However, the future is going to come around someday whether we like it or not. And wouldn't it be better to be at least somewhat prepared?
One way you can do this is by thinking about the type of life you want to live as a young adult. If going to university is part of the big plan, you could start a sinking fund to set money aside for further education. Or, if you want to help out with family costs/emergencies, you could start contributing just a little bit to the family emergency fund. Every little helps!
2) Set up a Fun Fund
What is a fun fund, you ask? It's exactly what it sounds like: money you budget each month to spend on your wants rather than your needs. This way, you can meet your other financial goals whilst still having fun and enjoying your youth.
Why not start by creating your own summer holiday fund to save up for whatever you'd like to do this summer e.g. cinema tickets, meals out, shopping, or gaming?
3) Start Investing
Your age is your greatest asset when it comes to investing! The younger you start, the better.
Investing as a teen allows you to get a headstart in life by growing wealth and gaining financial literacy skills from a young age: according to TheBalance.com, some of the best investment accounts for teens are savings accounts, CDs, stocks and bonds.
"A custodial account is one of the most popular ways to start investing for teens, though a custodial IRA is also a great option for a working teen." Click here to find out more about how to invest as a teen.
4) Gain Independence
The easiest way to gain financial independence and invaluable financial skills as a teen is by finding a way to increase your income.
Earn your own money by applying for a part-time/weekend job, or by helping out with chores around the house for your family. You can then use the ImageNPay app to improve your money management skills - with your own digital prepaid card, your parents can top up your card, and you can request more money if needed! There's also zero risk of overspending as you cannot spend over your limit.
The beauty of financial independence means no more having to rely on your parents for everything you want - the feeling of being able to fund something yourself is priceless!
Keep on Learning
It would be great if schools across the world taught financial education, but right now, it isn't part of the curriculum. This means taking matters into your own hands and educating yourself on all things money.
Set yourself a goal to become financially savvy by educating yourself on money management through online resources, YouTube videos, and even TikTok!
Better yet, turn your goal into a SMART goal: for example, "I will watch at least 5 YouTube videos every week on investing/budgeting/building wealth until the end of the year".
If you're interested in easy, digestible content on financial education for teens, you can also read through our other blog posts and follow us on Instagram @ImageNPay where we share handy money tips and tricks every week!
If you’re a teen looking to learn good money habits, the ImageNPay app can help 👇
Top up your card, request money from parents, and shop online and in-store with Apple Pay and Google Pay! You'll also be able to personalise your card with over 60+ FREE designs featuring your favourite games, movies and more 👀
Make budgeting fun and easy with ImageNPlay today: click here to find out why prepaid cards are great for teens & tap the button below to get get started!