Teen Money Attitudes Shifting

Jim Liebelt | Senior Editor of Publications for HomeWord | Wednesday, May 25, 2011

Teen Money Attitudes Shifting

Kids got the message. They saw what happened to the finances of their family and their friends’ families the last four years, and they have a whole new attitude about money. That is the uplifting conclusion from Schwab’s 2011 Teens & Money Survey.

The Great Reset, as this recession has been called, reached way beyond Moms and Dads who in varying degrees have had to rethink their savings, career and mortgage; and even their retirement ambitions. The recession reached teens in a visceral way, and many are now rethinking their material ambitions as well as their congenital indifference to things like budgets, late fees and cell-phone upgrades.

According to the survey:

• Nine in 10 teens say they were affected by the recession.

• Nearly two-thirds of teens (64%) are more grateful for what they have.

• The majority (58%) of teens say they are less likely to ask for things they want.

• The majority (56%) of teens have a greater appreciation for their parents’ hard work.

• More than a third (39%) of teens appreciate their families more.

• Nearly three-quarters (73%) of teens say it is important to have an emergency fund.

• More than half (51%) of teens say it is important to understand debt.

All this newfound self-awareness is heartening. A mind-boggling 86% of teens say they would like the chance to learn about budgets, taxes, credit cards and savings strategies in class — before making money management mistakes in the real world.

Source: CBS Money Watch