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Posts tagged with: house under contract
Sep 7, 2026    |      0 comments

Raising Financially Smart Teens: What Should We Teach Them About Their First Paychecks?

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pumpkins in a pile
A new season, and a new season of financial lessons.

Big news around here – my teenagers got their first “real” jobs!! They were both hired as seasonal workers at the Pumpkin Patch. It’s only 5 weekends in the month of October, but it’s a perfect first entry-point to the workforce.

Caveat: I say “real” job with quotations because they have worked for me (for my business), and also done odd jobs like pet-sitting and babysitting. But this is the first W2 position in their lives.

I love that it’s short-term because we have a pretty packed schedule in-between all the new High School events (football games! dances!) and their sports schedules. It’s weekends-only, and only for 5 weeks. Even so, this is “big money” for them! The minimum wage in Arizona is $15.15/hour and, boy, do they each have dollar signs in their eyes, eagerly awaiting the Pumpkin Patch opening!

Suddenly, I realized we’ve entered a whole new phase of parenting: teaching our kids what to do with money they’ve earned themselves. This raises all sorts of questions for me and I’d love to solicit advice from those of you who have gone before. ?

How much should they save?

Should I require them to save a certain percentage, or let them have free rein of how they save or spend their money?

Should they invest in their Roth IRAs? How much?

They already have Roth IRA accounts since they work for me, and I ensure deposits are made into their accounts from their earnings. But now that they have a W2 job…should I also encourage/require they invest some of those funds as well? What percentage?

Should they have a “giving” requirement?

When I was growing up, I remember my parents getting me a piggy bank with 3 distinct categories: saving, tithing, and spending. From an early age, I was encouraged (or…required), to put a portion of my money aside for tithing.

I do think there’s a real benefit of giving back to others. Even if it’s not tithing to a church, I’ve encouraged the girls to make donations in the past when they’ve received an influx of money, like for a birthday or Christmas. They’ve donated  to our local animal shelter, which has an online Amazon wish list that lets you pick specific items that you want to give to the pets there. So we could do something like that with a small percentage of their money. What do you think?

What’s the best savings account(s) for kids?

Right now, we’ve just been doing Greenlight cards for the kids (<referral link. If you sign up, we each get some free money!). Through Greenlight, I can designate a portion of funds be put into spending versus savings, and I like that it gives me the ability as a parent to approve (or decline) purchases. For instance, most of the girls’ money stays in savings and they cannot move it to spending without permission. 

It has initiated great conversations about what is appropriate (or not) for spending. Like the one time the girls decided to make each other gift baskets (for no reason – not a birthday or anything) and set a limit of $60/basket!

I love the thought and consideration since they were doing it for each other. But $60/basket is insane. Their allowance is only $25/month, so we’re talking over 2 months’ worth of allowance going into a completely random just-for-fun gift. We had a big discussion about how I loved where their hearts were, but the value of the gift was out of proportion with their budgets.

Anyway….I’ve been thinking I need to open up traditional savings and checking accounts for the girls and to get “normal” debit cards for them at some point. Is now the time? If so, what are the best accounts for teens? I want something that’s easy to open and access, and having some built-in parental controls would be great. I have accounts at Bank of America and Capital One, so if one of them is good for teens, it’d be a bonus that I already bank there.

How much do I let them screw up?

Back to the gift basket story…. part of me thinks this is a good time to let the kids make some questionable purchases. The stakes are low right now. They don’t have any bills they have to pay.

Is blowing $100 on something ridiculous actually a great way to learn that blowing $100 on something ridiculous doesn’t feel great afterward? Where’s the line between teaching good financial habits and controlling their money so much that they never learn to manage it themselves?

Do you suggest any good resources for teens to learn financial literacy?

Obviously, I’m a bit obsessed with money (as evidenced by blogging at a get-out-of-debt blog for a decade now, lol). My kids are less so. They’re not oblivious to it – we have lots of financial conversations. But I think they’re now at a life juncture where they could stand to learn more.

Do you have any books, podcasts, YouTube channels or other resources you’d recommend specifically for a teenager earning their first paycheck? Not something stuffy “Elder Millenials” (as they call me) would be into, but something teens would actually find interesting?

Honestly, I will take all the help I can get! We’re soon going to be getting into all kinds of financial conversations with the kids. When they’re able to drive a whole new world will open.

I’d love your advice and input while we’re on the front end of this whole kids-working-and-earning-money adventure. If you’ve already raised teenagers through this stage, what worked? What didn’t? What do you wish you had done differently? And if you have teens now, how are you handling their money?

I’m taking notes.

Sep 1, 2026    |      0 comments

How to Make Smarter Financial Choices When Paying Off Debt

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Getting out of debt takes more than making payments every month. It requires looking at where your money is going, anticipating expenses, and making choices that keep new financial problems from getting in the way of your progress. When money is already committed to credit cards, loans, or other balances, an unexpected expense can quickly disrupt an otherwise solid repayment strategy.

The goal isn’t necessarily to eliminate every expense. Instead, focus on making deliberate decisions about the costs you can control and preparing for those you can’t. Transportation, legal problems, and financial decisions can all affect your budget in different ways. Understanding those potential impacts can make it easier to create a realistic path toward becoming debt-free.

Account for Expenses That Could Derail Your Budget

One of the first steps toward paying down debt is understanding how much money you actually have available after covering your regular obligations. Housing, utilities, food, transportation, insurance, and minimum debt payments all compete for the same income. Leaving too little room for unexpected expenses can force you to rely on additional credit when something goes wrong.

Legal problems are one example of an expense that can create significant financial pressure. Even a situation that occurs only once can result in fines, transportation challenges, missed work, or other costs that weren’t part of your original budget.

For example, a first DUI offense in Ohio can potentially involve a license suspension lasting six months to three years, fines reaching $1,000, and three days to six months of jail time, according to the Ohio Bureau of Motor Vehicles. Beyond the direct penalties, losing access to a vehicle can make it harder to get to work or meet other financial responsibilities.

This doesn’t mean every unexpected expense can be predicted. It does mean that having an emergency fund, adequate insurance, and some flexibility in your monthly budget can reduce the likelihood that one major setback will lead to more debt.

Make Transportation Decisions With the Long Term in Mind

Transportation is another area where thoughtful financial choices can make a difference. Replacing a vehicle may seem appealing when an older car needs repairs, but taking on a new auto loan can add another monthly obligation while you’re trying to reduce existing balances.

Keeping a dependable vehicle for longer can sometimes provide more room in your budget. That doesn’t mean every older car should be kept indefinitely. Repairs, reliability, safety, and operating costs should all be considered when deciding whether maintaining a vehicle or replacing it makes more financial sense.

Vehicle ownership patterns have also changed. According to LLC Buddy, the average length of time people keep both new and used vehicles has increased by 60% over the past 10 years. That longer ownership period can make planning for maintenance particularly important.

If you’re working toward becoming debt-free, consider the total cost of transportation rather than focusing only on a monthly payment. Fuel, insurance, maintenance, registration, repairs, and financing can all affect your budget. A vehicle with a lower purchase price isn’t necessarily less expensive if it requires frequent repairs or carries higher operating costs.

Planning can also help. Setting aside money for routine maintenance and eventual vehicle replacement gives you an alternative to putting a large repair or down payment on a credit card.

Build Financial Knowledge Alongside Your Debt Plan

Paying off debt is primarily about managing what you owe, but improving your financial knowledge can help you make better decisions after those balances are gone. Understanding how banking, investing, credit, and financial technology work can make it easier to evaluate opportunities and recognize unnecessary risks.

Technology has dramatically changed financial markets. According to MarketsWiki, Nasdaq created the world’s first electronic stock market, and its technology now supports more than 90 marketplaces across 50 countries and handles one out of every 10 securities transactions worldwide. The evolution of electronic markets demonstrates how technology has changed the way people and businesses participate in finance.

For someone paying off debt, that doesn’t mean investing should automatically become a priority. High-interest debt may require attention before putting significant money into investments, depending on the individual’s circumstances. More importantly, learning how different financial products work can help you avoid decisions based on hype or incomplete information.

Once you’ve established a manageable debt repayment strategy, consider setting specific financial goals. You might prioritize building an emergency fund, paying down a particular balance, saving for a vehicle, or eventually contributing to retirement accounts.

The most effective approach is one you can maintain. By accounting for unexpected costs, making thoughtful transportation choices, and building stronger financial knowledge, you can reduce the chances of creating new debt while steadily working toward greater financial stability.

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