CBS News Feature on Rishi Vamdatt: "11-Year-Old Whiz Kid Who Offers Free Financial Advice to Thousands Online"

What is a Budget? A Super Simple Guide to Budgeting for Kids, Teens and Beginners

What is a Budget? Easy Peasy Finance for Kids and Beginners

Introduction to Budget for Kids and Teens

This video explains the concept of a budget in a simple, concise way for kids and beginners. It could be used by kids & teens to learn about budgeting, or used as a money & personal finance resource by parents and teachers as part of a Financial Literacy course or K-12 curriculum.

Budget for Kids Teens and Beginners - A Super Simple Guide to Budgeting
  • Save

Suitable for students from grade levels:

  • Kindergarten
  • Elementary School
  • Middle School
  • High School

The topics covered are:

What is a Budget - Infographic
  • Save

Infographic: Click Here to Download

What is a Budget - A Super Simple Guide to Budgeting for Kids Teens and Beginners
  • Save

What is a budget?

A budget is a plan for managing your money. It’s created based on an estimation of your income and expenses for a set period of time, usually a month or a year.

It is reviewed periodically and revised as needed. 

What’s in a budget?

A budget has all your income, whether it is income from a job, freelancing, or a business; and all your expenses, whether they are essentials, like rent, utilities and groceries, or discretionary expenses, like eating out or entertainment.

It also includes future large purchases you need to set aside or save money for. Like a vacation, game console, cell phone, etc.

[This is an affiliate link: at no additional cost to you, we will earn a commission if you click & make a purchase]

Why should I create a budget?

A budget encourages people to live within their means and helps them make good financial decisions.

When you write down and track your income and expenses, it helps you see your overall financial picture clearly. This way you can identify unnecessary expenses you can cut out, and instead use the money you’ve saved on other things that you truly enjoy.

You may also like:  Investing Quiz: Are You a Finance Expert or Novice? Instantly Measure Your Expertise!

You could also invest the extra money, or use it to pay off debt.

Who needs a budget?

Often people think of budget as a tool used only by people struggling financially. But they couldn’t be more wrong.

Budgeting for Kids Teens and Beginners
  • Save

Everyone needs a budget, as it can be used not just to get out of financial distress, but to avoid getting into it in the first place.

When someone creates a budget, they have a better understanding of their finances which enables them to make prudent money management decisions. They are able to plan ahead for large purchases, avoid overspending, and use the extra money on things that really matter to them.

Check out our post about creating a budget to learn how to create a budget for yourself.

Download Transcript: Ideal for Use by Teachers in their Lesson Plan to Teach Kids & Teens

Podcast: What is a Budget

What is a Budget / Budgeting
  • Save

Leave a Comment

Copy link