Financial Tips For Our Youth: Building a Strong Foundation For Our Future

As we grow older, we come in contact with the world of finance; whether it be gifted from family or made from a small business, all youth should be accessible to the knowledge of financial education. Knowing about how finance works can help us make decisions and stay prepared for the future.

1. Start Saving

Money is a continuous idea that flows through everyone's mind in any interaction– something that is brought up very frequently. We most likely are familiar with money– and may have interacted with it before. You mainly receive money from allowances or gifts. Open a savings account and deposit money you receive regularly. Compound interest can grow your savings account.

1. Make financial goals

Create short term financial goals or long term financial goals, such as saving for college or perhaps a phone. Keeping goals can keep you motivated to save money.

1. Be educated on credit

Understand how credit works and the importance of maintaining a high credit score. Be sure not to owe debt, and pay credit card balances monthly if applicable. 

1. Emergency Funds

Keep money to the side for unexpected funds you may need. This will protect you from financial emergencies. Think factually when keeping the amount of money to the side; it should ideally be at least 3 months of living expenses.

1. Attempt to Invest early

If you ever have the opportunity to invest; try it out! There are many small companies with 20-50$ stocks, and in the future you can benefit from compound returns.

1. Live within your means

Do not spend all of your spare money; use it wisely. Spend the money on needs rather than spending it on your temptations.

1. Educate yourself

Remain educated about money and personal finance through online articles, books, videos, or other information sources. There are many resources on the web that are free, such as Medium. Knowledge is power when it comes to managing money.

1. Listen to the wiser

Seek advice from the wiser; people like your parents or teachers. People with experience can guide you in a way no one else can.

1. Understand taxes

Understand taxes, especially if you have a job. Understand paychecks and how to file tax returns.

Money sure does talk; It is the prized possession of many. But, in order to use it you must know the basics. Understanding financial tips increases possibilities for our youth, building a strong foundation for future generations.