Encourage youth to earn own money

WHILE teenagers tend to be absolved from big financial responsibilities, FNB Credit Card CEO Chris Labuschagne believes they should start using money independently from young adulthood.

According to Labuschagne it is crucial to lay the foundation for positive financial habits by encouraging teens to earn extra money.

‘The ‘parent ATM’ is the most obvious way for most teens to get their spending money through some sort of an allowance from their parents.

‘As a parent you need to sit down with your teenager and discuss what they would need to use this money for – to ascertain whether it is for ongoing expenses such as airtime, or saving for a special item that they have their eye on.

‘If you are going to give your teenager any extra money over and above their usual allowance, make sure they earn it.

‘This can be done through paying them extra for chores done around the house, or as an incentive for getting good marks at school.

‘Furthermore, if you cannot afford to give your teenager extra cash, it is important to make them understand that money is not easy to come by and that there are lots of other ways that they can make money, without you as their main source.’

Part-time jobs

Aside from remuneration for chores, youngsters can reap the added reward of part-time jobs like baby sitting or walking neighbours’ dogs.

Teens over the age of 15, which is the minimum age prescribed by the Department of Labour, can also work at fast food restaurants and retail stores during weekends.

‘Teenagers might find the idea of finding work intimidating at first, but with a parent’s guidance, they learn how to approach businesses and discuss job opportunities for themselves, which is undoubtedly a very important skill to have,’ said Labuschagne.

Sale!

‘If they do not fancy the idea of getting a job and just need a cash injection, advise them to have a look around their bedroom and bookshelves to identify books and clothing they have not used for a while.

‘Second-hand books and clothing stores will pay a small sum for these items – a quick way of making a bit of extra money.’

‘As teens develop an interest in money by making their own, constantly encourage behaviours that will hold them in good stead as they become young adults.

‘When your teenager starts to make money for themselves, they will start to understand its value and become more financially savvy.

HAVE YOUR SAY

Like our Facebook page and follow us on Twitter.

For news straight to your phone invite us:

WhatsApp – 072 069 4169

Instagram – zululand_observer