Build Your First Budget
Create a flexible money plan even if your income changes.
A budget shows what comes in, what must be paid, what you want to save and what remains for spending. Teenagers often have irregular income, so start with a simple plan.
Four budget categories
1. Money in — allowance, gifts, pay or side-hustle income.
2. Important spending — transportation, school costs, phone bills or responsibilities.
3. Goals — money saved for something specific or unexpected costs.
4. Flexible spending — food out, games, clothing and entertainment.
Budget money you actually have
Do not plan around income you only hope to earn. Use money you already have or can reasonably expect.
If income changes, use percentages or make a new plan whenever money arrives.
Money in: $120 · Important spending: $25 · Savings: $45 · Flexible spending: $40 · Buffer: $10.
Try this
- 1Open the Teen Budget Builder tool.
- 2Enter your typical monthly numbers.
- 3Adjust until the remaining balance is zero or positive.
3 questions
Questions completed: 0 of 3
Official sources
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