If you are using a screen reader or other auxiliary aid and are having problems using this website, please call 1-888-387-8632 for assistance.
24-Hour Member Service: (888) 387-8632
Locations & Hours

With money being a topic on the mind of every adult, it shouldn’t be surprising that the younger generation is already thinking the same. Yet even with such a common subject, youth and adults manage their money very differently. For example, as a high school student myself, I am completely dependent on my parents, financially. The biggest gap between adults and teens though seems to be how teens use their money. One of the most common questions from parents to their children is, “Where is your money going?”

Although every teenager is different, most of us do have a common hobby: We enjoy spending our money. Richard Armour, an American poet, hit the nail on the head when he said, “That money talks, I’ll not deny, I heard it once: It said, ‘Goodbye’”. Most teenagers are not saving their money in an account or investing in stocks or a 401(k), but instead, we’re handing it off for products in return. Many can claim that we are the “instant gratification” generation, raised with the internet and an endless source of information at our finger tips. We would rather have something tangible in our hands than something in our Savings Accounts. Certainly some of my classmates are saving for a car, a new guitar, or even an upgraded phone, but a majority of us splurge on “stuff” because we aren’t sure what else to do with our money.

It’s important, even as a teenager, to begin to also think about how your money can work for you, rather than just you working for your money. Perhaps when receiving that check or deposit into your Checking Account, adding it to a Savings Account would be a greater benefit than a new pair of Jordans (I know, curse the day you stop collecting them). Think about it though! Money can sit in your wallet, your piggy bank, or a hidden box in your room, but it’ll only just sit there. Savings accounts are a great and simple way to let your money grow! Youth Savings Accounts at 1st Nor Cal Credit Union allow you to earn dividends (a percentage of your balance given back just for being a member) on balances over $100 and you’ll have money waiting for you when it’s finally time to make a large purchase. Having money saved will ease the burden of loans on your first sizable asset such as a car, or when you start to have larger recurring payments, such as rent on an apartment, or even your college tuition.

It’s important to remember that you don’t have to save everything you earn. Many encourage putting 10% of what is made per pay period away for savings. This is only a recommended amount. Depending on what you are saving for and how quickly you will need it, any percentage can be saved from your earnings.

sierra-article-savingsA great idea for those who earn tips at their job is to put what is made hourly into a Savings Account, and keep the tips to spend (or even the opposite)! Building your Savings Account so you can use the funds later when you’ll really need it is a mature step towards managing your money wisely.

If you have any questions or need advice on how much to save, representatives at 1st Nor Cal Credit Union are here for you!

Sierra Kaul
Student Social Media Intern
1st Nor Cal Credit Union