Inspiring teenagers to save???

It can depend on whether they are a "move toward" or "move away from" personality.

Move toward - "saving up" for a trip, car, etc.
Move away from - "saving for the rainy day" in case stuff hits the fan.

In many middle class "affluent" households, the "away from" is difficult to encourage, unless there has been a crisis of some sort.

Fear of abject poverty can be an incredible driver - but if you have not experienced it, or had some exposure to it (eg a trip to a struggling country or community), it is hard to reference to it.

Cheers,

The Y-man
 
I think alot of people (teenagers in particular, if my sisters and their friends are anything to go by) need a goal to save for. They need something specific (like a car or a holiday, etc) to save towards - because otherwise intant gratification of spending in the here and now wins out.
 
Thanks guys.

I've been encouraging my lil bro to save for his first car, and he has been, it's just some weeks he works a couple of shifts and can save, and other weeks he might only do 1 very short shift and save nothing.

I'm trying to encourage him to work a little more, instead of wasting time on things like tv, youtube, counter strike, etc, so that he can have a consistant savings history. I'd like him to not only have a half decent first car, but more importantly, have the right attitude to become a sucessfull investor.

When i was young, i worked as much as i could, and so did some of my work mates.. we never stayed home to watch tv! We played pc games if we were stuck at home, but not for lack of trying to get another shift at work.

I wanna really wanna get him motivated, fire him up! I'm thinking to get him a Tony Robbins motivation audio book :D Do those things work on teenagers?
 
I wanna really wanna get him motivated, fire him up! I'm thinking to get him a Tony Robbins motivation audio book :D Do those things work on teenagers?

Worked for me as a kid. Not that I really needed it, though. :eek:

The young ones in my office have been doing brilliantly with their own finances. Particularly Dave (18yo); he still lives with his parents, so has been able to save about half his wage since he started here. He's still doing that, and for the last couple of months has been accelerating the growth by trading shares. Every month he's also adding to his capital with additional savings. Kid's doing brilliantly.

Another teenager that I've been mentoring, Danny, I found through a (different) investment forum. He's still in year twelve (and also 18yo) and was the sort of kid who was using his pocket money in year seven to go to the shops and buy something like 24 cans of coke for $15... and then sell them at school for $1.20 each to all his mates. He's now working part-time and running his little online business around VCE, has drawn up his own budget, and makes sure that he's saving a good portion of his earnings as well.

Both are motivated by the idea of buying a property, ideally next year.

My youngest sister, as I might have mentioned once or twice before, is sixteen and now working part time. She's finding it hard to get shifts where she's at these days, but still finds enough to add to her savings each week. She's grown up with a positive mindset and learned a lot about finance and investment already. She has also chosen and bought some shares, using a small inheritance, and has done well with those.

I love teaching these kids about this sort of stuff. It's inspiring, seeing their progress and helping them along the way. Awesome stuff :)
 
That's awesome!!! Exactly what i'm trying to do, but it's really hard to get his attention... i can't force him to listen, he has to want to listen. That's the hard part!

So these kids you are mentoring, are they family?, friends?, or is this a business?
 
That's awesome!!! Exactly what i'm trying to do, but it's really hard to get his attention... i can't force him to listen, he has to want to listen. That's the hard part!

So these kids you are mentoring, are they family?, friends?, or is this a business?


Cheers mate. I love it. The good thing with these kids is, like you say there, they all *want* to learn. It's such a rewarding experience.

Missy is my younger sister. She's awesome, and talented in just about everything. Can't say enough good things about that girl. Dave works for me full time around uni; I found him at the local high school last year when I told the careers advisor there that I wanted to train one of their students. Danny is starting to get a taste for things here as well, but initially it was just as a mentoring thing after I found him on Invested. (Small world, turned out he goes to school with Missy's boyfriend, but we didn't know this until recently). So, the business isn't about mentoring young people, per se, but it's become a large part of our culture here. Makes for a lot of fun and energy in the office, too :)
 
My dad used to say that whatever I saved, he'd double the contribution by the end of the period.

So if I had saved, 100, he would fork out another 100 for me.

That made me save like mad!

there was also "penalties" if I didn't manage to save anything :)
 
As a sixteen year old I remember saving for 8 months straight my ENTIRE pay (about 80 bucks a week) because I really wanted a car by the time I had my drivers licence.

In 8 months I saved every cent except for $100 to buy a new walkman when my old one died. I had rechargeable batteries that I used.

So, at 16 years and about 8 months I paid cash for my first car. A Torana in excellent condition. And having to work and save made me love it all the more.

Teens operate by being motivated. The trick is to make them work for the things they want, so they enjoy them that much more when they get them.
 
That's awesome!!! Exactly what i'm trying to do, but it's really hard to get his attention... i can't force him to listen, he has to want to listen. That's the hard part!

Sometimes, it might be the case of you need to have something he dreams of having, so that you can inspire/motivate - after all if you are saying "save! save!" and don't have anything (he values) to show for it - it's going to be a dead cause....

Cheers,

The Y-man
 
There's some excellent feedback here guys, i appreciate it!

I've actually been doing everything mentioned here, except for matching his saving or showing him heartwarming videos - the thought of matching his savings has crossed my mind and is tempting, but i don't feel it's my responsibility to do this, since it's my bro not my son, but more importantly i just want him to do the best that he can.

I think the problem i've got is that i don't see him that often, about once every month, and we chat via phone & email about once or twice a week. If i was seeing him everyday, then i doubt i'd even have to say a word, just knowing that i'm around would be more than enough to prevent him from bludging too much i reckon.

That last idea i threw at him, which has been said at least a few times over the last few months, is for him to let me know which cars he would like as a first car, and i'll print out some big a3 posters of them at work for him to pin up in his room. I'm thinking that it would be a good motivator, but i still haven't got even one car decided on yet!?!? All i get is stuff like: "hmmm, yeah, that would be good... i'll think about it..."

Short of kicking him up the backside or putting half a bottle of tobasco sauce in his lunch... how can i fire him up :confused:
 
...just knowing that i'm around would be more than enough to prevent him from bludging too much i reckon.

Short of kicking him up the backside or putting half a bottle of tobasco sauce in his lunch... how can i fire him up :confused:
You've already said it yourself though...if he doesn't want to change (or stop playing counter strike)...you'll be wasting your effort.
He has to WANT to change. So herein lies your problem...
Heh. I say disconnect internet for a few weeks and stop providing any food/rent/bills and see how he copes. Does he live with your parents?
 
maybe you need to cut the kid some slack. He is saving something, It is all about balance. He has his whole life to get passionate about investing and saving. Just let him be a teenager - You only get to be one once. I know you just want whats best for your bro, and by all means continue to give him your knowledge and encourage him when he displays interest, but you cann't motivate someone to do something unless he wants to do it in the first place.

Trust me, I have an 19yr old sister who is a great worker and has been saving for a trip to Japan for the last three years. Problem is that as soon as she has saved ANY money, she finds something else she simply has to have. She had 3k saved a month ago, and then she spent 2k in one hit adding to her already expansive (and expensive) wardrobe. I am not sure if anyone here knows what 'little lolitia' fashion is, but she has spent more on a single outfit then DH's first car cost. She also (like any teenager) spend alot of her time on the net or watching TV.

Actually Both my teenage sisters do (but the 17yr old is much better at saving). Hell they even chat to each other over the net when they are in rooms next door to each other, which I find utterly appalling.
 
Yeah fokas, lives with his mum.

Well i know of a fair few cars that he likes, which could be obtainable by him for a first car if saves around $5-10k, what do you guys think if i print out some color a3 posters of them for him to pin up in his room?

Good motivational idea?

I'm not really willing to match his savings, but i've been tempted to supplement them lately, i was thinking something like giving a bonus $100 for his savings account, for each $1000 that he saves. It might sound a little cheap but the compounding effect is pretty good! imo anyway, what do you guys think? Good motivational idea?
 
Yeah fokas, lives with his mum.

Well i know of a fair few cars that he likes, which could be obtainable by him for a first car if saves around $5-10k, what do you guys think if i print out some color a3 posters of them for him to pin up in his room?

Good motivational idea?

I'm not really willing to match his savings, but i've been tempted to supplement them lately, i was thinking something like giving a bonus $100 for his savings account, for each $1000 that he saves. It might sound a little cheap but the compounding effect is pretty good! imo anyway, what do you guys think? Good motivational idea?
Geez I wish my older siblings compounded my savings when I was growing up!! Talk about a silver platter! ;)

Have a go at the posters around the wall...may kick start him into caring, may not.
After struggling for a long time to try and motivate my family members into caring about their financial status, I found the best way was to lead by example. Actions speak louder than words and all that.
 
Sounds good. I'll give the posters a go. He is saving, doesn't waste money on crap, so he's pretty good. Cheers for all the info guys :D
 
Show them the power of money. Tell them that you have 'financial difficulties this week'. You need $20, if they are happy to delay their pocket money buy x weeks, you will give them $30 in one month.
This is a one time only offer, cause you are cash flow short this month.
 
Sometimes, they just need to believe that the sacrifice is worth it, or that they are actually capable of achieving the goal. Remember, that they need to realise that even small savings, on a regular basis, can equal a large amount if left to grow.

I have 2 kids. Both started part-time work at a very young age (8 & 10) in our business. I told them that I would let them work, but they had to save half of their earnings. This money is to be put aside to purchase their first house.

They had no problem at first, being so young and having spending money. However, later when we moved & they had to get "real" jobs from non-family they both struggled big time. Part of the problem was lack of shifts, so at 14 years of age, they had less money than at 10. Another problem is that so many kids get Youth Allowance for doing nothing, so they had less money than than their friends. One of them used to resent me taking half of her money and would have regular arguments with me about it. Neither of them were allowed access to the money.

It wasn't until each of them were around 17 and their respective savings were quite high that they really started to appreciate it. There is nothing like the knowledge that this nest egg is growing constantly and that they have more in the bank than many adults twice their age. The eldest is now 20 (this month) and has a large deposit set aside. She is not earning a huge amount as she is doing a traineeship. If she was in a normal job, I believe she would have already bought her first property.

The youngest, just turned 18 and is doing her HSC. She has a deposit for her first home and is quite excited that she might be able to purchase it next year. Of course, this depends on what job and income she gets.
 
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