How to Save Money as a Kid

Co-authored by Trent Larsen, CFP® and Amy Bobinger

Saving money can be really hard when you're a kid. There's always something fun to buy, especially when it can be hard to get money in the first place. If you really want to save money, though, it will be easier if you set a specific goal for yourself, make smart spending decisions, and look for ways to earn extra money in your free time!

Method 1

Method 1 of 3:

Making a Savings Plan

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Set a specific goal for how much you want to spend. Saving your money will be a lot easier if you have a particular amount in mind.^{[1]
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Expert Source

Trent Larsen, CFP®
Certified Financial Planner
Expert Interview. 22 July 2020.} Are you saving up for something? Setting a goal will help you stay motivated, especially as you get closer to reaching that goal!^{[2]
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- For example, if you want to buy a bike, your goal might be enough money to buy the bike, plus the price of a helmet and any other safety gear you need.
- Even if your goal is just to save as much money as you can, you can still set milestone goals. For instance, you might set a goal that you'll reward yourself with ice cream every time you save $100.
- If you're saving for a specific item, don't forget to account for the cost of sales tax, which is an extra charge added on to the price of almost anything you buy. Ask your parents how much sales tax is charged in your area.
Savings Tip: If you're planning on ordering something online, you'll usually need to pay an extra shipping fee as well
2
Keep your money somewhere safe, like a piggy bank in your closet. If you want to save money, you need to put it somewhere where it can't be lost or stolen. It's also a good idea to keep it somewhere out of sight, since you won't be as tempted to spend it if you aren't constantly looking at it!^{[3]
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- Don't keep all of your money in your wallet, since it's too easy to accidentally lose track of it while you're out somewhere. Instead, put your money into a piggy bank, an envelope, or even a shoebox, and keep it in a secure spot, like your closet or your dresser.
- Put your money in the same place every time so you don't forget where you're keeping it!
- Don't tell people where you keep your money or how much you have saved, unless it's someone you really trust, like your parents. That way, no one will be tempted to help themselves to your hard work's payment!
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3
Make a chart to keep track of how much you have saved.^{[4]
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Expert Source

Trent Larsen, CFP®
Certified Financial Planner
Expert Interview. 22 July 2020.} Once you set your goal, draw a long rectangle with $0 at one end and your savings goal at the other. Mark lines along the chart that represent $5 or $10. Every time you add money to your savings, color in the rectangle or use stickers to show how close you are to reaching your goal!^{[5]
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- Try putting the chart on your wall or desk where you'll see it often. This will help you stay motivated to keep saving!
- You can even decorate your chart with pictures of what you're saving for! If you're saving for a new bike, for instance, draw or paste a picture of a bike onto your chart to help keep you focused on what you really want.
- If you have a smartphone or a tablet, you can even download a savings app like iPiggiBank or PiggyBot to help you keep track of your savings!^{[6]
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4
Put money in separate containers if you're saving for more than one thing. If you have more than one savings goal, like you want to put a little money aside for a video game, but you also want to save money for a trip to Magic Mountain, try dividing your savings up. For instance, you could use a smaller jar for the video game and a larger container for your trip.^{[7]
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- In this case, if you get $15 to put in your savings, you might put $5 in the smaller jar toward the video game you want, and $10 in the bigger jar for your trip!
- You can even have a third jar or envelope for money that you can spend whenever you want to!

Method 2

Method 2 of 3:

Spending Less Money

1
Put your money up right away so you'll be less tempted to spend it. Whenever you get money, whether it's allowance, money you earned, or a special gift, you should put it into your savings as soon as possible.^{[8]
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Expert Source

Trent Larsen, CFP®
Certified Financial Planner
Expert Interview. 22 July 2020.} That way, you'll be less inclined to think of it as being available to spend, and you'll be less likely to just buy something impulsively.^{[9]
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- If you know ahead of time that you're going to get money, plan how much is going into savings before you ever see any cash. Then when you do see the money, you'll just see how much closer you are to your goal!
- You don't have to put all of your money in savings. If you're trying to reach your goal very quickly, you might decide to only keep out about 10-20% for spending money. (In that case, if you get $20, you might keep $2-$4 for yourself and put the rest in savings.)
- If you're focused more on saving long-term, you might decide that 50% of whatever you make will go into your savings, and the other 50% will be for you to spend however you want.
2
Ask yourself if you really want something before you buy it. When you're trying to save money, remember that every penny counts. Any time you're about to spend money, take a second to think about whether what you're buying is more important to you than what you're saving money for.^{[10]
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- If you think about your savings goal every time you're about to spend money, you might realize that you don't need to spend as much money as you normally do. This will help you save much faster!
3
Find free things to do for fun. Having fun doesn't have to cost a lot of money, especially when you're a kid! Instead of going to the movies or paying to get into a skating rink, try going to the park and playing flag football with your friends, or go on a scavenger hunt in your neighborhood!^{[11]
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- For other fun free things to do, you could try going to the library, playing games online, or drawing a picture!
4
Bring snacks and drinks from home instead of buying them out. Buying snacks and sodas might be fun at the time, but that feeling only lasts for a minute. It might not seem like a lot of money, but buying snacks can really add up over time. Instead of buying snacks from a convenience store or concession stand, try bringing drinks and snacks from home when you go somewhere, so you won't have to spend any money if you get hungry or thirsty.^{[12]
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- Instead of buying a can of soda for $1.50, for example, you could bring a refillable water bottle with you wherever you go, and fill it up whenever you see a water fountain.
Tip: If you love sweets, try baking at home instead of buying pre-packaged treats!
5
Tell someone else that you're trying to save money. This is called "accountability," and it works because then you have someone else who can help you stay on track. If you feel tempted to save money, they can help remind you about your goal.^{[13]
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- If you tell your parents that you're trying to save money, they might be more inclined to pay you to do extra chores or odd jobs around the house.
- If you tell your best friend, they might remind you that you'd rather have the shoes you've been saving for than a candy bar after school.
6
Don't take much money with you when you go places. Saving money doesn't necessarily mean that you can't ever spend it. However, to keep from spending more money than you intended to, set aside a portion of your money that you can use for spending cash, and only take a little with you if you're going somewhere.^{[14]
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- For example, if you're going to the movies with a group, bring enough money for your ticket and, if you want, a few extra dollars for spending money. If you have any change left over, though, bring it home and put it with the rest of your savings!

Method 3

Method 3 of 3:

Earning More Money

1
Ask your parents for an allowance. It can be really hard to earn money when you're a kid, especially before you're old enough to have a job. If you don't already get an allowance, this might be a good time to ask your parents if they can start giving you one. Even if they only give a few dollars a week, it will add up if you're putting it into savings!^{[15]
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- Find a time when your parents aren't busy, and ask them if you can talk to them. Then, say something like, "I've been doing my chores and trying hard in school, and I was wondering if I could start getting an allowance."
- If your parents can't give you an allowance, try to be understanding. If you're mature about it, they might be more inclined to give you money for odd jobs when they do have a little extra on hand.
2
Negotiate for your parents to pay you for extra chores. If you notice that there are things to be done around your home, try asking your parents if they'll pay you to do them. This will show them that you're really serious about trying to find ways to earn money, and it will also help get things tidied up!^{[16]
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- For instance, you can offer to rake leaves for $10 if you notice that a lot have collected in your yard, or you can ask your parents if they'll give you $5 if you clean out the refrigerator.
- Try to keep your prices reasonable to increase the chances that your parents will say yes. Also, try very hard to do a good job. If your parents have to clean up behind you, they'll probably say no next time.
- If you have siblings, offer to do their chores for them in exchange for money!
Tip: It's a good idea to get your parents to agree to give you money before you do the chores. However, if you do them, they'll be impressed with you, even if they don't pay you right away for them.
3
Help your neighbors with odd jobs if they need it. In addition to asking your parents about odd jobs you can do, you could also reach out to your neighbors. This might include doing yard work for them, shoveling their driveway if it snows, washing their car if it's dirty, or helping them clean their house.^{[17]
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- It's important to be safe! Only talk to your neighbors if they're someone you already know, and never go inside someone else's house unless your parents know where you're going.
4
Start a business like a lemonade stand if you like selling things. Selling lemonade, candy, or baked goods can all be good options for businesses when you're a kid. Have your parents take you to the store so you can buy the supplies you need. Then, set up a table near the edge of your yard and sell your items at a profit.^{[18]
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- If you want to sell candy, buy it at a discount store, then sell it for more than you paid.
- If you try to set up your stand near another business or on someone else's property, you'll need to get permission from the owner first.
5
Make and sell your own crafts if you're creative. If you know how to sew, crochet, paint, or build things, you can turn those skills into cash! You can either take your items to a craft fair or you can try listing them on an online craft site like Etsy or Craftsy.^{[19]
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- If you're selling online, you may need to get your parents' help setting up your site, since you'll probably need to have a bank account where your payments can be deposited.
6
Babysit if you like kids and you're very responsible. Babysitting is another popular way for kids to make money. If you like being around kids, you're responsible, and you're old enough to stay at home by yourself, you could babysit smaller kids for a few hours at a time so their parents can go on a date or run errands.^{[20]
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- It's best to start out by only watching 1 kid at a time until you get a little experience. That way, you'll be less likely to get overwhelmed.
- A common rate for babysitting is $10 an hour, letting the parent(s) know that you're flexible will raise your chances, opposed to demanding only one price.
- Before you babysit for someone for the first time, get to their house a little early so you can talk to the parents about the rules and whether there's anything special you should know.
7
Walk dogs or pet sit if you like animals. You may be able to turn your passion for pets into a little extra money for your savings! Ask your neighbors, family, and friends if they need any help dog-walking. Also, if someone you know is going out of town, you could earn money by watching their pet for them.^{[21]
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- Before you walk a dog, make sure that the dog isn't too strong for you. If you can't control the dog, it could get away from you if it gets excited while you're walking it.
- Sometimes pet-sitting will involve keeping the animal at your house, but for some animals, you might just need to go to the house once or twice a day to make sure they have food and water and their space is clean. The pet owner will give you specific instructions.

Community Q&A

Question

If I am 12 years old and saving up for an iPhone7 and I really want one, how do I make my parents believe that I really want a new phone?

Amy Harrison

Top Answerer

The best way to get something you want, but your parents disagree with, is to show that you are responsible enough to have a phone. Tell your parents how an iPhone would benefit you -- including that you can keep in contact if there is an emergency, etc. However, it would be much easier and effective to save up for an older generation of iPhone as, of course, they are cheapest, therefore easier to save for. Also, an older phone may make it easier to get your parents to trust you with an iPhone as they probably don't want to hold the risk of having you break an expensive phone.
Question

Can I just spend a dollar every day and get $100.00 at the rate of getting $5.00 a week?

Amy Harrison

Top Answerer

If that dollar is going to unnecessary items, then restrain yourself from doing so. It's completely pointless and will soon be regretted. Try your best to save as much money as you can to reach your goal even quicker.
Question

I am pretty young and my neighbors probably don't need me to do jobs for them like the ones you listed above. Do you have any possible ideas of how to earn money by doing jobs?

Amy Harrison

Top Answerer

You could do jobs for your parents, siblings, friends or other relatives. You don't have to limit yourself to one job; you can go around asking your neighborhood for paid jobs such as car washing or mowing the lawn. However, take a friend or family member with you!