What does your Teenager know about Personal Finance?

In recent years secondary schools have been required to teach pupils how to manage their personal finances.

– Lessons in ‘financial mathematics’, covering problems such as percentage changes and calculating interest, are now included in the national curriculum.

– Within their citizenship classes, pupils are learning how public money is spent as well as how to manage their own money and approach some of the financial planning decisions they often need to make in later life.

– Parents also have an important role to play in influencing their children’s attitudes to personal finances. Letting your child see you make responsible financial decisions and helping them to appreciate the difficult skill of ‘delayed gratification’ is invaluable in a consumer society that encourages us to fritter away cash.

– Kids can also learn practical lessons in managing money if they receive pocket money or rewards for helping around the house. A regular, set amount soon teaches your child lessons about how to budget and that money is not an unlimited resource!

– As your children become teenagers, you could explain your everyday financial management in more detail, by involving them in working out a monthly household budget, or when shopping around for a better deal.

– When your kids get their first job, it’s a great time to talk to them about saving, whether for a set goal or just to have some money put away for a rainy day. You could help them to set up a direct debit into a savings account from their first pay check, for example. By explaining how interest works, they should be able to understand that a savings habit begun early should result in greater rewards down the line.

– Older teenagers should also be able to grasp the risks and rewards of investing in shares, rather than cash. You can also explain the benefits of saving in an ISA or even the Help to Buy ISA, when the Government boosts savings by 25% for first-time buyers.


Teenagers are known to be influenced by their parents’ attitude to personal finance, so setting a good example and highlighting the dangers of financial mismanagement are lessons that they will (hopefully) listen to.

Whether you need help with Investments, ISAs or other forms of saving, our Financial Advisers are the experts and can give you sensible professional advice. Call Logic Wealth Planning on 0808 1234 321 where we can arrange your initial appointment free of charge.