Collaborative Post
Many of us recall just how difficult it can be for us to stand on our financial feet when we’re young, perhaps just leaving school. Sure, we may be a favorite for working minimum wage jobs, but moving out of the home, trying to balance our money, perhaps even starting a college degree without much in the way of financial assistance can all be quite the intensive experience to follow.
This means that as someone with a little more financial stability and understanding, helping out our younger relative or loved one could be a worthwhile task. It’s important to strike a careful balance between helping ease their progression and giving them everything on a silver platter, however. They should always be expected to learn, and you must never aid them unless they are willing to aid themselves.
For the purposes of this post, we’re going to assume that your teen/young relative is not only willing to engage, but appreciative that you’re taking that step out in the first place. With the following advice, you can bond in that financial sense:
Finding Employment
Finding employment is an important stepping stone for any young professional, especially one hoping to get on their feet, move out, and develop a stronger professional personality. This is where you can come in, helping them apply for jobs, reminding them to stay strong in the face of limited call-backs, or driving them to job interviews. A little conventional wisdom such as showing them how to give a firm handshake to a potential manager, or how to listen before answering.
Finding employment is mostly just persistence, the ability to keep your resume simple and easy to read, as well as confidently and frequently applying for positions to get your foot in the door. As someone helping a young relative, helping them ride the crests of potential, disappointment and then making good on an opportunity can be a worthwhile process.
Managing A Budget
No person, young or old, can ever unlock the door to their financial security without making a budget and sticking to it. Managing a budget is one thing, but ensuring it’s feasible and regularly sustainable is another. You may wish to help your young relative see how you manage your finances, from how you inspect your direct debits or subscriptions each month to what you cut out if it’s not quite necessary.
Managing a budget can be helped through the use of software, perhaps with You Need A Budget or note-taking tools such as Google Keep or Evernote. It’s amazing how calculating the income and outgoings of a certain time period can help inform decisions and limit wanton purchases, and so helping your relative understand these tidbits of wisdom ahead of time will always be a valuable effort.
Finding Firm Footing
Finding the firm footing that works for your younger relative is important. This can mean finding substantial and regular work, and helping them learn how to save their payments and divide them well into their budgeting needs. It can also mean helping them get set up with their first independent living situation. For example, you may decide compare guarantor loans to use your own financial standing as a backing for a cash injection they may need, helping them get on top of difficult fees related to setting up and outfitting their kitchen. This can help them achieve a degree of normalcy, a reward for their hard-earned physical effort and soothing the sometimes-unfair hardships related to a young person trying to find their way.
Financial Hygiene
You may also teach them of financial hygiene and how to steward it. For example, if they’re an arden band player and are starting to earn money for gigs they play around town with their friends, paying tax on that supplemental income may start to be necessary. Getting them in good habits now when declaring, learning to write off certain parts of their second income and understanding how to apply for certain rebates can be important.
Financial hygiene can also come in the small measures, such as learning how to shred bank statements before getting rid of them, or by ensuring that they know not to give their financial information to shady sources or websites. Additionally, learning how to inspect a bank statement for fraudulent purchases and communicating those to the bank can be a very real skill in need of refining.
With this advice, you’re sure to help your young relative earn their financial freedom.
