Resolving Your Teen's Money Problems

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The high school and college years can rack up surprisingly pricey bills! Whether your teen is begging for a spring break jaunt, ready to splurge on a stretch Hummer for prom night, or submitting more college applications than days in a month, awareness of your financial options can better prepare your family for unexpected bills or help you dig out of adolescent accrued debt. Teaching your teen to manage money may seem like a daunting task, but an informed approach to money management can help you and your teen cross this crucial hurdle towards a life of financial success and stability without the tears. 1. Work It Out: Part Time Jobs Understanding the value of the all-mighty dollar is the foundation of sensible spending and saving. Helping your teen find a part-time job at a local store or restaurant will empower him or her to make special purchases for themselves, encouraging independence, self-reliance and confidence. Earning their own income, teens will learn relate the money in the bank to their hard worked hours, encouraging more practical and informed decisions about leasing that brand new red convertible or picking up that much-coveted designer hand bag. If your teen has already racked up a sizable debt on your credit cards, consider discussing a 50/50 arrangement with half of their paycheck contributed to paying off their debts, while the remainder can be put into a savings account or used as pocket money. 2. Just in Case: Loans Your son is begging you to let him go on the school’s ski trip but the deposit is due tomorrow and your next paycheck doesn’t come for another week and a half. Your daughter is graduating with honors and you want her to have the party of her dreams, but you’re strapped for cash. Short-term loans may be the right decision when you happen to be in a financial squeeze, but you don’t want your teen to miss out on memories.Payday advance online loans can grant you access to cash quickly (as soon as the next business day). With these short term loans you can deduct the lump sum of the amount borrowed from your next pay check or can pay overtime through monthly installment debited directly from your paycheck. 3. Talk It Out: Financial Transparency Be honest with your teens about what your family can afford. Planning ahead is the best way to accommodate extra expense and little luxuries. At the beginning of the school year sit down with your child and discuss the added incidentals that can be predicted for the year to come from formal gowns to movie tickets or new sport equipment. Then discuss options for added income or ways to save within the existing budget from cutting out those $4 lattes on the way to school or applying for scholarships to balance out the cost of college applications and standardized tests.