Teaching teens about money

Dear Audrey,

I have two teenage children that seem to think money really does grow on trees!! Can you make some suggestions to help me teach them how not to be such spendthrifts. I try explaining the best way to save is not to spend, but they don't realize they must get their act together since college tuition will soon be upon them.

Robert C.

Dear Robert,

I am so glad to hear that you are trying to teach your teenagers healthy spending habits. Setting a weekly allowance, opening bank accounts for them and involving them in your financial matters are all great ways to help teach them about money management. I wish that someone had taught me the basics of balancing a checkbook, paying bills on time and using credit responsibly before I went away to college!

You may want to advise them to wait until they are out of college to open their first credit card - the temptation to spend can be too powerful for struggling students. It will be easy for them to manage their credit after graduation and once they have actual paying jobs.

Best wishes,
Audrey O'Dell