As summer approaches, now is a good time to ensure your teen’s wallet doesn’t take a vacation from responsibility. The temptation to spend money impulsively can be greater during summertime, potentially derailing the money management habits they’ve worked to build during the school year.
According to a 2024 study by Intuit Credit Karma:
- One-third of Gen Z and Millennials care more about having a fun summer than they do about saving money
- More than a quarter of Gen Z and Millennials are willing to take on debt in order to have a fun summer
- Nearly 40% of Gen Z and Millennials say that, regardless of where their finances stand, they will always prioritize summer travel
With pressures like these, it’s easy to see how even financially savvy teens might lose focus during the summer. But with a little support, they can stay grounded. Here are five strategies to help your teen stay on track with budget and savings goals over the summer months.
1. Review and adjust goals and set a budget
Encourage your teen to revisit financial goals set during the school year. Are there any adjustments to be made for the summer months? Work with your teen to craft a budget that allows for summer fun without breaking the bank. They can use this Expense Tracking Worksheet to help them get an estimate of what they spend every month.
2. Encourage smart spending habits
Money can vanish faster than sunscreen on a sunny day. Remind your teen about the importance of making wise spending decisions. Encourage them to differentiate between needs and wants and to prioritize spending accordingly. Suggest strategies such as researching deals and discounts or waiting for sales.
3. Set limits on impulse spending
Even with smart spending habits in place, impulse spending can sneak up. Discuss the dangers of impulse spending and help your teen set limits. Consider implementing a “cooling-off period” for non-essential purchases, where they wait a certain amount of time before making a decision. Encourage them to think about whether a purchase aligns with their goals and values before pulling out their wallet.
4. Explore free or low-cost activities
Who says summer fun has to come with a hefty price tag? Help your teen find alternative ways to have fun without emptying their wallet. From picnics in the park to movie nights under the stars, there’s a world of budget-friendly activities waiting to be explored. Research free or low-cost activities in your area, such as outdoor concerts, community events, or DIY projects. Encourage them to get creative and think outside the box. Here’s Trip Advisor’s list of the best free things to do in Milwaukee.
5. Lead by example
Show your teen that being financially savvy doesn’t mean taking the fun out of life. Be a positive role model by demonstrating responsible money management habits. Involve them in family financial discussions and decision-making processes to help them understand the importance of budgeting, saving, and planning for the future.
At SecureFutures, we believe financial education shouldn’t stop when the school year ends. With a few simple strategies, you can help your teen stay on track and carry their money skills into adulthood — one smart summer decision at a time. To learn more about how to get our programming into your school or community-based organization, contact our Director of Volunteer Programs, Pa Vang at pa@securefutures.org.
