Students aren\u2019t known for having responsible spending habits. In fact, they have a bit of a reputation for wasting their loans on shopping sprees and boozy nights out without thinking of the consequences. Before they know it, they have a mountain of debt and are living off beans on toast in order to pay the month\u2019s rent.<\/p>\n
This careless behaviour often occurs because students haven\u2019t had any prior experience with handling money. But teaching them these skills in their teenage years can get them into the habit of taking responsibility for their own finances before they leave the nest and have to fend for themselves.<\/p>\n
A fifth of parents surveyed by online student bill-sharing tool Split The Bills<\/a> said they teach their teenagers how to budget. However, there are several methods parents can adopt to help prepare their children for paying personal bills in the future.<\/p>\n The value of an allowance <\/strong> According to Ashley Tate, chief executive officer at Split The Bills, pocket money is a great way to introduce children to the notion of being responsible for money. Receiving an allowance as a reward for completing chores or achieving good grades in school shows young people the value of hard work.<\/p>\n Another idea is to encourage your child to put their pocket money in a piggy bank\u2014an approach 8% of parents in the Split the Bills study said they took to help their teenagers learn how to save.<\/p>\n Once a young person finds employment and begins to earn a salary, this experience with money teaches them the benefit of budgeting and directing part of their wages into a savings account.<\/p>\n Spend money wisely <\/strong> The best way to prevent children from buying on impulse is to lead by example. If you\u2019re making unnecessary purchases every weekend, your teenager will consider those outgoings as normal. Instead, explain why you\u2019re choosing not to buy something that isn\u2019t a priority or an essential item.<\/p>\n A study by Yes Marketing<\/a> found that social media influenced more than 80% of Centennials\u2019 purchases. Despite this, it\u2019s important that teenagers know not to give into peer pressure or buy things purely because they\u2019re a trend on their Instagram feed.<\/p>\n Simonne Gnessen, founder of Wise Monkey Financial Coaching<\/a> and co-author of the book Sheconomics<\/a>, believes this behaviour stems from a lack of self-esteem. She urges parents to help their teenagers rediscover their confidence so they don\u2019t feel the need to buy items simply to mimic their friends or to fit in.<\/p>\n Without being educated on how to handle money, students will often make mistakes when they don\u2019t have a safety net to fall back on. By taking away the pressure of paying rent and bills and getting into debt, parents can help their children acquire these valuable skills that will undoubtedly serve them well throughout their entire lives.<\/p>\n Survey data<\/strong> Students aren\u2019t known for having responsible spending habits. In fact, they have a bit of a reputation for wasting their loans on shopping sprees and boozy nights out without thinking of the consequences.<\/p>\n","protected":false},"author":1,"featured_media":17844,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[45],"tags":[],"class_list":["post-17843","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-students-and-graduate-tips"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.studentemploymentservices.co.uk\/staging\/3440\/wp-json\/wp\/v2\/posts\/17843","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.studentemploymentservices.co.uk\/staging\/3440\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.studentemploymentservices.co.uk\/staging\/3440\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.studentemploymentservices.co.uk\/staging\/3440\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.studentemploymentservices.co.uk\/staging\/3440\/wp-json\/wp\/v2\/comments?post=17843"}],"version-history":[{"count":44,"href":"https:\/\/www.studentemploymentservices.co.uk\/staging\/3440\/wp-json\/wp\/v2\/posts\/17843\/revisions"}],"predecessor-version":[{"id":17888,"href":"https:\/\/www.studentemploymentservices.co.uk\/staging\/3440\/wp-json\/wp\/v2\/posts\/17843\/revisions\/17888"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.studentemploymentservices.co.uk\/staging\/3440\/wp-json\/wp\/v2\/media\/17844"}],"wp:attachment":[{"href":"https:\/\/www.studentemploymentservices.co.uk\/staging\/3440\/wp-json\/wp\/v2\/media?parent=17843"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.studentemploymentservices.co.uk\/staging\/3440\/wp-json\/wp\/v2\/categories?post=17843"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.studentemploymentservices.co.uk\/staging\/3440\/wp-json\/wp\/v2\/tags?post=17843"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\nThe Split The Bills survey revealed that 20% of parents teach their teenagers money management skills by giving them pocket money for doing chores.<\/p>\n
\nThe younger generations are known for being frivolous with their money. In this study by Drapers<\/a>, 93% of people surveyed who were born in the late 1990s or early 2000s\u2014known as Generation Z or Centennials\u2014buy new clothes every month. And in this research<\/a>, an astonishing 95% of millennials\u2014roughly, people aged 21 to 37\u2014admitted to impulse purchasing.<\/p>\n
\nQuestion: \u201cHow do you teach your teenagers to handle money?\u201d<\/i><\/p>\n\n\n
\n Answers<\/b><\/td>\n Percentage<\/b><\/td>\n<\/tr>\n \n I give them pocket money for doing chores<\/td>\n 20.3%<\/td>\n<\/tr>\n \n I give them a piggy bank to save money<\/td>\n 8.3%<\/td>\n<\/tr>\n \n I teach them how to budget<\/td>\n 20.4%<\/td>\n<\/tr>\n \n I ensure I track their outgoings<\/td>\n 6%<\/td>\n<\/tr>\n \n I don\u2019t teach them how to handle money<\/td>\n 5.5%<\/td>\n<\/tr>\n \n None of the above<\/td>\n 53%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n","protected":false},"excerpt":{"rendered":"