When talking finances, it is important to point out that the focus is not about making millions of dollars and having all these “things” – nice cars, big houses, trips around the world. Although, all these things might be nice, they are just that…things. Rather, our focus needs to shift towards laying a foundation for building strong money habits early on and avoiding mistakes that many students later encounter. There may have been a time when you were learning subjects in school and you asked yourself, “Will I ever use this in my life?” However, learning how to handle money will be important for your entire life – and the sooner you learn how, the better.
It is important to start learning how to budget. Basically, write down any income you receive: an allowance, birthday money, salary from summer jobs. Then consider all your expenses: purchasing those shoes you have been wanting, ordering take out, gifts for family members or friends. It is important to know how much you will make or spend during a period of time. Once, you have your budget, start separating a part of your income to savings. Even if you just save a weekly cup at Starbucks, by the end of the year you will have saved about $260. Imagine starting from now, how much you will save in 10 years if you get into the habit of separating part of your income? Finally, it is important to think of ways to use your money to give back. You will not only be helping someone else in need, but you will feel good doing it.
Summertime is the perfect time to explore avenues for making extra income because you don’t have the responsibilities of school. We’ve heard of some great ideas even during our current conditions of social distancing. For example, a group of high school students came up with a weekly menu of baked goods for sale. Once the order is placed, the baked goods are left at your door within 24 hours. Another student in elementary school is washing cars for family members and friends. He arrives at the home, the car owner simply unlocks their car from inside their home, and the car is washed and sanitized. A third idea from a middle schooler is to offer to do simple jobs around the house that are typically paid to a handyman or gardener. This student was paid for removing weeds and pruning. There is a saying that work around the house never ends, so there is sure to be something to do. Maybe your garage needs to be cleaned and organized?
Many of life’s financial problems that people encounter could possibly have been avoided if they had a better understanding of how money works. Research found that 2 out of 3 students who did take a fiancial literacy course were earning an average of $3,000 per year. If you are interested in learning more about money, we will be hosting the YTeach Summer Virtual Workshop, and this week’s topic is financial literacy. Any student who would like to participate can sign up here. Finally, for this week’s #MakeItHappen, let us know any creative ways that you are growing your money and email us at email@example.com or share your story and tag us on social .
Go make it happen,
Luly & the YTeach Team
“A budget is telling your money where to go instead of wondering where it went.”
– Dave Ramsey