“Money doesn’t grow on trees!” Remember that phrase often reiterated by your parents? Teaching teens the value of money today can be tough; nonetheless, it is best to begin when they are children.

When you think about when you were a teen and saw how your parents handled their household budget, whether they included you or not, it was a valuable lesson. If they couldn’t afford to buy something, they didn’t but it. Most likely, credit cards were taboo and your parents only paid with cash.

It’s a different world today. We are a nation in debt and teaching teens not to waste money can be an ongoing challenge. Let’s face it; children live in the moment. Their conception of money is that it is always available whenever they need it – mostly from mom and dad’s pockets.

However, most parents today teach their children by including them in family talks about the household budget; how tough things are and why mom and dad both work to make ends meet.

Teens are pretty savvy today when it comes to certain things, but on the subject of money, they often seem to turn a deaf ear to the realities of saving and spending. It is when they are put in the position of handling their own finances that reality kicks in and all of the family talks about finances are finally comprehended.

Children learn from parents. They mimic behavior, and if parents spend unwisely - odds are the children will do so later on as well. When you take your kids to the supermarket, for example, and they reach out for items they want but you can’t afford, this is the time when the hard lessons are learned.

So too, teens who beg mom to take them to the mall to buy a special outfit or choose clothes beyond the family budget learn that money certainly doesn’t grow on trees and there needs to be a set limit. Yes, they’ll moan and groan and there will probably be a few arguments as well.

The bottom line is that teens can learn how not to waste money if they are taught early on the value of each and every dollar. Discussing the reasons for a household budget will given them a keen understanding why mom and dad can’t always afford to give teens money whenever they ask for it.

We understood this concept from our parents, and it’s up to us as parents to convey this message to our teens.

Suggested Reading:
+ Financial Help for Teens
+ Help Your Teen Set up a Financial Plan