Get an A+ in High School Money Management.

There’s a lot going on in high school: between homework, tests, and after-school activities, it may feel like there’s not enough time in the day to learn about finances. That’s why we wrote this blog: to help high school students get a quick snapshot of financial tips and tricks to help get started on the right financial foot forward.

Open the right accounts

If you don’t have a checking and savings account yet, this is a great place to start. Your checking account is for everyday purchases, whereas you can stash money in your savings account for both short and long term savings goals.

Build the lingo

Now’s the right time to be learning about concepts like compounding interest, retirement accounts, and more. But be aware: not everything you read on the internet or see on social media is good financial advice, so make sure you’re learning from reliable sources. (Our advisors happy to provide time tested, expert-recommended information, not the latest #FinanceTok trends.)

Bring in the bacon

A first job isn’t just for extra cash on the weekends. Letting money grow in a Money Market account means you’ll acquire compounding interest. For example, let’s say you make $3,000 this summer working. After just one year, you’ll get an extra $122 in interest just by banking in an account with a 4% APY! 

Set goals

Today, it might be a bike or a new gaming console. Tomorrow, it’ll be a down payment on a home. Practicing goal setting (and feeling the joy when that goal is reached) is a lifelong skill to build right now, so write down your financial goals, both big and small!

Budget your expenses

One of the most important things you can do for your financial future is to build a budget, and stick to it. Create line items for any income, then your ‘fixed’ and ‘variable’ expenses. An example of a fixed expense might be a car payment - you can count on it being the same every month. A variable expense might be new clothing; still smart to estimate in a budget, but it might be different one month to the next. We recommend building a budget with a fixed minimum amount to save, so you can prioritize stashing away money for the future instead of planning to save whatever's left over after spending. 

Stay with it!

Sticking to the budget is a great way to ensure you don’t get into debt. Even if you decide to open a credit card, it’s never a good idea to charge more than you can afford. Credit card debt is financially dangerous and can be difficult to pay off!

We’re excited to help in your first big moves toward financial independence. Questions about money, financial goal setting, or just want to strategize for your future? Give us a call at 303-321-4209, stop by at your nearest branch location, or visit WesterraCU.com.

*Westerra does not provide tax, investment or other professional advice.
* APY= Annual Percentage Yield.