Are you tired of constantly asking your parents for money? Do you want to learn how to save money like a pro and become financially independent? Well, you’re in luck because we’ve got the ultimate guide on how to save money as a 17-year-old.
Saving money as a teenager can be challenging, especially when you’re juggling school, work, and social life.
However, it’s never too early to start developing good money habits that will pay off in the long run.
Being a 17-year-old comes with a lot of new experiences, including financial independence. Whether you are working a part-time job, receiving an allowance, or saving up for college, it is important to start building good money habits now.
In this article, we’ll show you how to save money as a 17-year-old without sacrificing fun or missing out on the things you love.
How To Save Money As A 17 Year Old
Here 10 simple tips to build your savings as a 17-year-old:
1. Create a Budget
Creating a budget is an essential step towards financial independence. It allows you to keep track of your expenses and income, and to ensure that you are not overspending. Here are some steps to follow when creating a budget:
2. Set Financial Goals
The first step to creating a budget is to set financial goals. This will help you determine how much money you need to save and how much you can spend. You can set both short-term and long-term goals. Short-term goals can be things like saving up for a new phone, while long-term goals can be saving for college or a car.
3. Make a List of Your Income and Expenses
The next step is to make a list of your income and expenses. Your income can include money from a part-time job, allowance, or any other source. Your expenses can include things like food, transportation, entertainment, and clothing. Make sure to include all of your expenses, even small ones like snacks or coffee.
4. Allocate Your Money Wisely
Once you have a list of your income and expenses, allocate your money wisely. One popular budgeting method is the 50/30/20 rule. This rule suggests that you spend 50% of your income on necessities like food and housing, 30% on wants like entertainment and shopping, and 20% on savings and debt repayment.
Another method is to create a budget based on the envelope system. With this system, you put cash in envelopes for each budget category, and when the money in the envelope is gone, you can’t spend any more in that category until the next budget period.
Creating a budget can seem daunting at first, but it’s an important step towards financial freedom. By setting financial goals, making a list of your income and expenses, and allocating your money wisely, you’ll be on your way to a more financially stable future.
5. Cut Back on Unnecessary Expenses
As a 17-year-old, you may not have a lot of expenses, but it’s still important to cut back on unnecessary spending. Take a look at your spending habits and identify areas where you can cut back.
For example, do you buy a lot of snacks or drinks at school? Bringing your own snacks and drinks from home can save you a lot of money in the long run. Do you buy a lot of clothes or other items you don’t really need? Consider waiting until items go on sale or buying them secondhand.
Another way to cut back on unnecessary expenses is to evaluate your entertainment choices. Are you spending a lot of money on movies, concerts, or other events? Look for free or low-cost options in your area, such as community events, outdoor concerts, or movie nights in the park.
6. Find Ways to Save on Essential Expenses
While it’s important to cut back on unnecessary expenses, there are some expenses that are essential. However, there are still ways to save money on these essential expenses.
For instance, if you have a cell phone, consider switching to a cheaper plan or a prepaid plan. You can also save money on groceries by planning your meals ahead of time, making a list before you go to the store, and looking for coupons and deals.
Another way to save money on essential expenses is to evaluate your transportation options. If you have a car, consider carpooling with friends or using public transportation instead.
If you live close enough to school or work, consider walking or biking instead of driving.
| Expense | Potential Ways to Save |
|---|---|
| Cell phone | Switch to a cheaper plan or a prepaid plan |
| Groceries | Plan meals ahead of time, make a list before going to the store, look for coupons and deals |
| Transportation | Carpool with friends, use public transportation, walk or bike instead of driving |
By cutting back on unnecessary expenses and finding ways to save on essential expenses, you can save a lot of money as a 17-year-old. Remember, every little bit counts, so even small changes can add up over time.
Increase Your Income
If you want to save more money as a 17-year-old, increasing your income is one way to do it. Here are some ways you can earn more money:
7. Get a Part-Time Job
One of the most common ways for teenagers to earn money is by getting a part-time job. You can work at a local store or restaurant, or you can look for online jobs that allow you to work from home. Some popular part-time jobs for teenagers include:
- Retail sales associate
- Food service worker
- Babysitter or nanny
- Tutor or teacher’s assistant.
8. Sell Unwanted Items
If you have items that you no longer need or use, consider selling them to make some extra cash. You can sell items online through websites like eBay or Craigslist, or you can have a garage sale. Some items that you can sell include:
- Clothes that no longer fit
- Electronics that you no longer use
- Books or textbooks
- Collectibles or antiques.
9. Start a Side Hustle
If you have a skill or talent, you can turn it into a side hustle to earn extra money. Some examples of side hustles for teenagers include:
- Freelance writing or graphic design
- Photography or videography
- Web design or coding
- Music lessons or performances.
Starting a side hustle may require some initial investment, but it can be a great way to earn money doing something you enjoy.
Save Smarter
As a 17-year-old, it’s important to start saving money now so that you can have a secure financial future. Here are some tips to help you save smarter:
10. Open a Savings Account
One of the best ways to save money is to open a savings account. This will help you keep your money separate from your spending money and make it easier to track your savings progress. Look for a savings account with a high interest rate so that your money can grow over time.
11. Use Automatic Savings Apps
Another way to save money is to use automatic savings apps. These apps can help you save money without even thinking about it. You can set up automatic transfers from your checking account to your savings account, or you can use apps that round up your purchases and save the spare change. Some popular automatic savings apps include Acorns, Digit, and Qapital.
12. Take Advantage of Student Discounts
As a student, you can take advantage of many discounts that can help you save money. Look for discounts on entertainment, transportation, and food. Many retailers offer student discounts, so be sure to ask if they have any special offers for students. You can also use your student ID to get discounts on software, textbooks, and other school supplies.
By following these tips, you can save money and start building a solid financial foundation for your future.
A practical illustration
Meet Joanna, a 17-year-old who wanted to save money for college but didn’t know where to start. She knew that college was expensive, and she didn’t want to burden her parents with the cost. So she decided to take matters into her own hands and started by cutting expenses.
Joanna began by taking a hard look at her spending habits. She realized that she was spending way too much money on eating out with friends and buying clothes she didn’t really need. So she decided to cut back on those expenses and instead cook meals at home and shop at thrift stores. This allowed her to save a ton of money without sacrificing her social life.
Next, Joanna created a budget to help her keep track of her spending. She used a budgeting app like PocketGuard or Wally to help her stay on track. She also started tracking her expenses manually, which helped her identify areas where she could cut back even further.
But Joanna didn’t stop there. She knew that she needed to earn more money if she wanted to save enough for college. So she started a side hustle by offering her services as a tutor to other students in her school. She charged a reasonable rate and was able to earn a decent amount of money each week. This allowed her to put even more money towards her savings.
Finally, Joanna asked for financial advice from her parents and a financial advisor. She learned about the importance of saving for emergencies and long-term goals like college. She also learned about different investment options that could help her grow her savings over time.
By following these steps, Joanna was able to save a significant amount of money for college. She realized that it wasn’t easy, but it was definitely worth it. And now, she’s confident that she’ll be able to pay for college without relying on loans or her parents.
Conclusion
By now, you should have a good understanding of how to save money as a 17 year old. Remember, saving money is a habit that will benefit you for the rest of your life. It’s important to start early and make it a priority.
First, set a goal for yourself. Whether it’s saving for a car, college, or a trip, having a specific goal will help motivate you to save. Next, open a savings account and make regular deposits. Consider getting a job or finding ways to earn money to increase your savings.
Make a budget and stick to it. Track your expenses and look for areas where you can cut back. Consider using apps or tools to help you manage your money and stay on track.
Finally, don’t be afraid to ask for help or advice from trusted adults, such as parents or financial advisors. They can offer valuable insights and guidance to help you reach your financial goals.
Remember, saving money takes discipline and patience, but the rewards are worth it. By following these tips and making saving a priority, you’ll be on your way to a financially secure future.
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