How to Manage Money
By: Kylie Hoff
High schoolers are broke. College students are even more broke. A lot of life is based on money. It costs money to eat, to have a place to live, and to get clothes on your body. A lack of money could mean a lack of the very necessities you need to live. And when you turn 18, you’re kind of on your own financially. So how do you ensure that when you’re thrown out into the world, you don’t starve because you have no money? There are a few ways you can ensure that you don’t find yourself homeless, starved, or terribly in debt.
How to Get Money
Obviously, the first step to managing money is to get money. There are a few ways you can do this. You can get a job, babysit, or mow lawns. You can also sell things or get money by doing extra chores. I make money a few different ways. I babysit, I work for my dad in the summer, I have a year round job at an ice cream shop, and I sell handmade blankets. The trick to getting money even if you don’t or can’t have a job is to be creative. Once, my friend’s mom paid me and my friend to set up food for her dad’s birthday party after their caterer canceled. I’ve also dogsat for friends when they go on vacation.
High School Jobs
One common way that high schoolers make money is by getting a job. Many jobs will be flexible, although you may not make much more than $10 an hour. And, you don’t have to be 16. Some jobs will take 15 year olds, or even 14 year olds. You could get a job at a restaurant or fast food place, a retail store, or supermarket. Or if you can’t drive and there’s nothing in walking or biking distance, you could find a job babysitting or mowing lawns.
Here are some common places teens work:
Age 14:
- McDonald’s
- Chick-Fil-A
- Baskin-Robbins
Age 15:
- Wendy’s
- Pizza Hut
- Dairy Queen
- AMC
- Dunkin’ Donuts
Age 16:
- Walmart
- Starbucks
- Target
- Subway
Odd Jobs and Chores
If you don’t have time for a job, there’s still ways you can make money. You can volunteer to mow lawns in the summer or shovel snow in the winter. You can also babysit or find something to make and sell. A lot of these things only take a few hours to do, and can easily be fit into your schedule. You could also ask your parents to pay you for doing extra chores, like organizing the garage or decluttering your junk drawer. Although small tasks and jobs like these may not seem like they pay a lot, maybe only $10-$20, the money will add up over time.
Putting Money Away
Once you have money, you’re going to have to save it. One of the most important things is to always know where your money is. You should keep track of your cash and checks, so you don’t find yourself wondering where your $20 from babysitting went. If you get paid in checks, you’ll need to get a bank account. There are a few types of bank accounts you can have, but the most common and most necessary for a teen are checking accounts and savings accounts. With a savings account, you can deposit cash and checks into your account, but typically the only way to get money out is by physically taking out cash from the bank. With a checking account, you can deposit cash and checks into your account, and you’ll have a debit card and/or check book. A checking account is better for everyday use, whereas a savings account is used to save money.
You may want to open both a checking and savings account, so you can spend some of your money but save the rest of it. If you’re employed with an actual corporation, you may be able to set up a direct deposit. A direct deposit automatically sends your paycheck to a bank account of your choice, so you don’t have to deposit the check yourself. With a direct deposit you can even set it up so that your paycheck can be distributed between multiple accounts. This is a great way to ensure that some of your money goes into your checking account, but also a certain amount goes into your savings. You can set it up so that different percentages go into each account. For example, maybe 70% of your paycheck goes into savings, but 30% goes into your checking. This will help you not spend money you want to save up for college.
Spending Money
Once you get cash, it can be tempting to spend it. When you get your first paycheck, it can be tempting to buy yourself something nice or go out to eat. This is okay occasionally, but it’s important to be aware about what you spend your money on. One of the ways you can keep your spending in line is by making a budget. Set a certain amount that you want to spend each month, and then track what you buy, so you can ensure you don’t overspend. You should be cautious when going out with friends or when out shopping. If you want to go even more in depth, set a certain amount to spend on clothes, food, and other things each month.
Going Out Into the World
By the time you turn 18 and graduate, hopefully you will have saved up money for college or whatever you plan on doing. Hypothetically, let’s say you go to college with a few scholarships, but still have to take out student loans. Scholarships will pay for some of your classes, tuition, and textbooks, however you’ll probably have to take out loans to cover the rest. Most likely, your scholarships and/or loans won’t cover living costs. You may have to pay rent, bills, or pay for food. This is when you may have to dip into your savings, which is okay. While in college, you may want to find a way to make money. On summer breaks from college, you should work a good amount so you can have more money to live off of, to avoid using all of your savings.
Overall, the best way to ensure you don’t starve to death after you go out into the world is by preparing beforehand. You should prepare by finding ways to make money, saving your money, and learning how to manage it efficiently. You should be cautious of unnecessary spending. By being smart with your money, you can set up your future and remain financially stable. Well, as stable as a broke college student can be.
Sources:
- https://www.doughroller.net/personal-finance/13-things-every-high-school-student-should-know-about-money/
- https://www.snagajob.com/teen-jobs/age-requirements/
- https://www.hireteen.com/jobs-for-15-year-olds/
- https://www.ranker.com/list/companies-that-hire-15-year-olds/business-and-company-info
- https://crewapp.com/c/resources/list-restaurants-hire-age-15/
- https://m.snagajob.com/teen-jobs/age-requirements
- http://echeck.org/ultimate-guide-to-the-different-types-of-bank-accounts/
- https://www.diffen.com/difference/Checking_Account_vs_Savings_Account
