The majority of parents want to raise their children in a way that will prepare them for life in the real world. As all adults know, money is the foundation of living a comfortable life. Then, why is it that parents who want to raise kids to be responsible adults don’t think about the importance of teaching them about money? Kids go to school and learn about history, math, science and a host of other things, but they don’t go through a financial class that prepares them for managing money. No, this is left for parents to do. So, how does one raise a financially responsible teenager?

The first step is to talk to your teen about money. Don’t be afraid to share details with them about your finances. All kids, and especially teenagers, need to understand how money works and the importance of managing it correctly. Parents can start talking to their kids about money before they become teenagers, but it is something that is an absolute must for those who want to raise financially responsible teenagers.

The best way for teenagers to learn the value of money is to learn by trial and error. This is why encouraging teens to get a part-time job is a great idea. By working a part-time job, even if it only is in the summer, teenagers will learn to appreciate the connection between work and money. Now, to help teens learn to manage their money wisely, parents need to start requiring their teens to pay for some of their own things.

Nothing will be accomplished if your teenager is working part-time, but is able to spend his money on whatever he wants because you are providing him with all his necessities such as a cell phone, car, gas, clothing, etc. Now, that doesn’t mean everything has to be turned over to your teen. For example, if you prefer to pay for your teen’s car payment and insurance then you could considering making him pay for the gas money. Also, it’s a great idea to set a budget of how much you are willing to spend on your teen’s clothing each year and don’t go over it. When the limit is reached, your teen will have to start buying clothing with his money.

By taking simple steps like those listed above, you will be showing your teen how to manage money through real life lessons. It’s possible that your teen will make mistakes. For instance, he buys some clothes he really wants and then realizes he doesn’t have enough money for gas to go out on the weekend. Well, then the solution is he doesn’t go out. Yes, it will be hard to not hand over some extra cash to your teen so he can have a nice weekend, but by refusing to do so you are showing him the importance of managing money. It is better that your teenager learns these lessons while he’s still under your protective care than when he’s off to college and gets evicted from his apartment due to lack of money management skills.

Raising financially responsible teenagers is not a simple thing to do, but it is possible. And, when parents take the time to teach their kids about money and how to manage it properly, they are teaching them important lessons that will follow them for their entire life. When you successfully raise a financially responsible teenager, you will be able to rest much easier when he leaves for college and enters the real world. And, that’s the ultimate goal!

Protect your child from graduating “book smart but money dumb” – help them avoid debt, financial stress and paycheck-to-paycheck living. Give your child the gift of MoneySmarts – for a lifetime of financial Intelligence, Independence, Security and Success!