Saving money is always a hard task for teens for so many reasons. It can be the urge to spend money with your friends or the habit of eating at hotels and restaurants. But these habits might make you regret them later. Learning how to save money as a teenager becomes very important to understand the value of money before it’s too late.
Learning how to save money at your early stages can help you in many ways. Whether it is to buy your favorite smartphone, go on a long holiday trip with your friends, or throw a superb party on your birthday, spending your own saved money has a unique feeling.
Whether you are 13, 15, or even 19, this article will help you learn how to save money as a teenager. Follow the simple steps and tips and start growing a good habit that’ll last forever.
#1. Open Your Savings Accounts Right Away
Though saving money without having a savings account is possible, it’s too hard. As a teen, you always find it hard to save money, especially when you have it with you.
One good way to start saving your money is by opening a savings account. A savings account provides you with a secure place to keep your money safe.
If you are a minor (under the age of 18), ask your parents to help you open a savings account.
Pro tip: Go for a savings account that has no monthly fee and minimum account balance requirements.
You can do some simple research online to choose the best savings accounts for kids in 2022 quite easily.
And here you complete your first stage of learning how to save money as a teenager. Cheers!
#2. Save little but regular
Set daily, weekly, or monthly goals for your savings and save accordingly. Be disciplined about your savings and try to reach your set limits.
You might feel a bit hesitant to put the money in your bank account if it is not much. But let me tell you, every penny counts! Whether it is $5 or $50, each savings will increase your total balance.
Sometimes, you may go out of cash and think of using the money saved in your account-but NO, don’t do that ever. The money you have saved is for something particular or an emergency. Spending it on regular activities would be disrespectful of your efforts.
To avoid this, consider having a checking account (transaction account). While a savings account stands for long-term use, a transaction account is used to meet daily purposes.
#3. Track your expenses to learn how to save money as a teenager
As a teen, it is often irritating to keep track of your expenses. The psychology behind that is that teens don’t want any restrictions on their activities. I also support teen independence but not in this case. If you want to learn how to save money as a teenager, you will need to track your expenses.
Always remember this quote from Warren Buffet;
Do not save what is left after spending, but spend what is left after saving. – Warren Buffett
Note down each of your purchases and find where you are spending more than enough. This way, you can also avoid spending too much and cut down on it to put in your savings account.
#4. Buy smartly
We think that bargaining and buying smartly is only mammas work. But no, buying smartly as a teenager can help you save a lot for your future plan.
Everything you buy need not come out from your pocket completely. A smart buy can be sharing the cost with your friends, siblings, or partners.
Also, make use of coupon cards and vouchers properly. If you have got coupons and vouchers for things you are not interested in, consider reselling to marketplaces that accept them paying a fee.
Another thing that can make your buying quite smart is your student ID. With your student ID, you can get reasonable discounts on your favorite outfits, gadgets, and other stuff.
Remember, everything you are doing today is for learning how to save money as a teenager.
#5. Make earnings and know how to save money as a teen
If you really want to learn how to save money as a teenager, earn money. When you start earning, you start realizing the value of money. And then, saving it becomes quite easier.
Now you will ask, how to make money as a teenager?
To make money as a teen, you need not go to the office. There are plenty of ways through which you can earn a decent amount of income that you can save for your future plans.
Here are a few ideas on how you can start earning as a student.
- Do housework
- Help your neighbors in their stuff
- Do work from home jobs
- Work in cafes, malls, or restaurants
If you are hesitating to take up any of these as your way to start working, remember that no work is bad!
Saving money as a teenager is possible, however, it is just a bit difficult. But not now, by going through this easily consumable article, you can learn how to save money as a teenager quite easily.
One thing to remember while doing this is that you are saving this money for a good cause.
Q 1. How to save money as a college student?
Ans: The best way to save money as a college student is by doing part-time jobs, internships, or tuitions in your free time. For example, instead of wasting your college holidays on parties and all, try doing a paid internship. Along with some quality experience, it will help you save a fair amount of money as well.
Q 2. How to save money as a teenager without a job?
Ans: If you are a teenager and don’t have a job, it never means that you can’t save money. You can help your parents in doing housework in exchange for some fee. You can also do some simple stuff for your neighbors to make and save money.
Q 3. How to save money from salary?
Ans: If you are looking to save money from your salary, the best way is by putting it into a savings account or in a fixed deposit.