With the excitement of a new year and many of us settling into different routines, it’s also a great time to reset your finances and think about some 2021 money goals.
While money is a topic that’s rarely been discussed outside of our homes, this is the year all of that changes. In speaking with many of you over the past few months, learning how to manage your money is a top priority - and Step is here to help!
Each week we’ll be publishing new content on our Money 101 page, covering everything from how to set a budget, what to know before buying your first car, quick savings tips and more. We’ll also be featuring Q&As with special guests that you won’t want to miss.
To kick things off, we recently sat down with your favorite TikTok star, Charli D’Amelio, to discuss her financial journey, how she manages her money and a few tips she’s picked up along the way!
Fortunately, I started learning about money when I was pretty young. My parents always stressed the importance of this topic and frequently reminded me that money is extremely valuable and not something that just appears out of thin air - so I’ve always been fairly conscious about my spending and saving habits. As I’ve gotten older and started earning my own money, I’ve continued learning - even picking up a few tips of my own.
It’s definitely hard to keep track of the amount you’re spending versus saving at a young age. Money goes quickly and it’s hard for a lot of teens to realize that. Maybe you’re just running a quick errand, but it’s so easy for that to snowball and end up spending a lot of money in an extremely short period of time. Unfortunately, a lot of teens end up learning that the hard way.
I decided to partner, and ultimately, invest in Step because I wanted to show teens that it’s a lot easier than they may think to learn how to be financially responsible - and it’s so important to do so! Even though I was fortunate enough to learn about money at home, it’s not something that was ever talked about at school. And in general, I just feel like people don’t talk enough about financial education and teaching kids the value of money and how to use it. Learning those skills when you’re young is really important and it benefits everyone!
I really like that I can only spend the money that’s in my account — so I can never overspend — and it’s easy to keep track of my balance. Step also makes it super convenient for me to send and receive money from my friends or parents.
As a teen, how much money should I be spending versus saving every month?
To answer Charli’s question, a good rule of thumb is to try and save 10% of what you earn each month. To learn about more savings strategies, check out our recent article: The teenager’s guide to saving money.
We hope you’ll join us next week as we explore new Money 101 topics. If you’re short on time, you can also check out our Instagram for quick money tips and comment with some of your #BurningMoneyQuestions for an upcoming article.
Photo credit: Flannery Underwood