Teenage Financial Plan...

I had a part time job all through high school. Sometimes, I had more than one job. Some summers I worked full time to meet expenses for fun experiences like school pep club or our madrigals singing group. Working and earning were part of the very fabric of my upbringing. I feel, now that I'm raised, that the lessons I learned through work are some of the most vital lessons I've been blessed with in my life.

John parents handled things differently. John had responsibilities at home. He also was VERY accountable for his grades. As long as the grades were top notch he was given cash to enjoy time spent with friends eating out or going to a show. His clothes were purchased for him; not extravagant, but sufficient. He was taught hard work through academics. He earned a full ride scholarship to the University of Utah in the most challenging department at the University (materials science/Engineering).

Different approaches. Both a success. John is one of the most hard working people I know, and a life long learner to boot. I too can be hard working, but I can't admit to being academically minded - that discipline just didn't get 'set' with me.

So, now we have this teenager. And there are expenses that come along with having one of those; every kind of expense from car insurance to High School fees to clothes to deodorant to scouts; you name it. Having your kids grow up is EXPENSIVE...

and we want Mason (and those who follow him) to learn fiscal responsibility and hard work too.

So, we've tried to take the best of how we were raised, and mesh it into one financial plan for raising financially mature individuals.

The family will allow Mason to manage a portion of our budget in order for him to meet expenses that are part of being a teenager in school. We will put money into an account that he will manage. And in return for that trust he will take on 'family jobs' that need doing on a regular basis-like a part time job (only a little more flexible). He will have to save this money, meet expenses when they come up, and report back on how he is managing the funds. Part of this trust includes getting good grades-so Mason knows that his grades are directly linked to his financial independence.

In addition, we've provided opportunities for Mason to do work around our home for which he'll be paid so he can 'play' just a little. Because we want him to have a chance to pay tithing and manage his savings account (which he will use for mission and college expenses) we have given him 'mad money jobs' which are optional, but because they fund the fun they are quite desirable to him. It is amazing how much he gets paid per hour compared to the minimum wage earnings I made as a teen, but what good is the process of teaching if the kids has no incentive to learn? Mowing the lawn each week (plus trimming, plus edging etc.) brings a whopping $20, but after tithing (10%) and savings (20%) its just enough to take a girl out for a burger :) And because the 'family responsibility' jobs have to be done each week, we know the 'mad money jobs' won't get done quite as consistently (especially if he has a date or an outing with his friends to attend to ).

How do you do money with teens? Its been a really difficult process for us to come up with this system, and its just in its infancy, not sure how it will go. I was surprised at how starkly different my approach was to money with teens compared to John-and its been a process for the two of us to come to an understanding and appreciation of the good things in the other person's viewpoint. In the end the goal is the same; raise kids who have become personally responsible educationally, physically and fiscally. We hope this arrangement when properly followed and practiced will bring the result we desire!

Have a great weekend. See you here next week for :
Living with Junie B. Jones
Conference in Review
This year's family theme
If you are ever in Salt Lake City...