Main content

Top tips for teens on digital finance

Here are our top tips for talking to your children about spending in the digital age.  

Talk about digital money when you teach your children about spending

Young children still like playing at shopping and having toy tills and imaginary shops. Try including role-playing games with different types of spending to help them to understand that money can take lots of forms.

Set the ground rules

If your child wants to shop online or start using digital payments, make sure you set the rules and boundaries so they know what’s OK with you and equally what isn’t. You can give them a limit of how much they’re allowed to spend, and what on. Your ground rules might mean they should always put their potential purchases in an online wish list or basket for you to review and approve before they actually buy them.  

Remind them that digital spending is linked to real money

It may sound obvious but children don’t necessarily realise that money they can’t see is still money.

‘Discuss a monthly budget for their digital purchases’

If your child asks for permission to buy a new game, talk about how they might be able to earn the money or what other purchases they might have to forego that month. You can also discuss a monthly budget for their digital purchases to get them thinking about how to manage their day to day spending responsibly. 

Help them to keep track of their online spending

Money diaries or charts can really help and, for older children, encourage them to set some longer term goals so that they have an incentive to keep track of how much they need to save to do what they want to do or to buy something they want. 

Talk about what to look out for

We often think of young people as digital natives who are knowledgeable about and comfortable with new tech – but payments can be tricky in the digital age, and kids of all ages could easily get confused. Make sure they understand frictionless payment. 

Share devices, but not passwords

At a practical level, make sure that any family tablets or devices you let your child borrow are set up to require a password for purchases and that they don’t share your password. Think of handing a device over in the same way you would think about handing over your purse or payment card.

Talk about keeping their digital money safe

Make sure they understand that their phone is also a wallet and their password can be the key to purchases.  Encourage them to understand the importance of security measures, even if they think at first these are an inconvenience.

Talk to relatives about how you manage digital spending with your children

Vouchers that can be spent online can be more welcome presents than cash for today’s young people.

Further reading

Managing money in the digital world

Money Advice Service

Parent Zone

Cyber Aware

Young Money

Parent Zone acknowledges Visa Europe's support in enabling us to deliver these resources. 

The advice published on Parent Info is provided by independent experts in their field and not necessarily the views of Parent Zone or NCA-CEOP.

Updated: ​May 2018

Related articles

  • Education and the future

    From primary to secondary: how to ease your child’s transition

    Leaving behind the familiar, safe environment of primary school and setting off for the uncharted territory of secondary school is a big adventure in a child’s life. It’s exciting - new people and new activities — but also challenging. Here are a few ways you can help smooth your child’s transition to secondary school

  • Education and the future

    Returning to school: 7 tips to help your primary-age child cope

    Children in Scotland are returning to school next week after an extended time away, with those in the rest of the UK following soon after. How can you help them deal with all the changes?

Explore further