How to Help Your Teen Save Up for Their First Car
For many teenagers, the most important step after obtaining their driver’s license is buying their own car. While driving courses are challenging, saving up for a car can be even more challenging for everyone involved – for the young drivers dreaming of a car of their own as well as for their parents who want to help them get there, but don’t have the financial resources to get the car for their child or consider motivating the child to earn the price of the car more beneficial. Here are a few tips for parents who want to help their child save up without actually giving them the money:
- Convince your child to start early – small sums put aside each day or each week amount to a lot eventually. Encourage your child to put aside his or her birthday, the money they earn baby-sitting or with other types of student work, such as summer jobs;
- Set the goal together – establish a saving plan together with your child. Determine a realistic timeframe and the amount of money that your child can realistically save and start saving as well to be able to contribute at least a few dollars when your child has kept their end of the deal.
- Let them know that you will match a certain dollar amount, and that it can increase when they save for and complete driving classes in Orange County close to home and their work.