Sunday 25 August 2019

Teens get €30 pocket money – and use it to shop online

Charlie Weston Personal Finance Editor

THE majority of teenagers are shopping online. And most of those between the ages of 12 and 15 get almost €30 every month in pocket money, a new survey shows.

But only half of parents talk regularly to their children on how to manage money and spend wisely.

Most parents are giving an average of €27 a month in pocket money to children between the ages of 12 and 15, the new research commissioned by Danske Bank shows.

Most save €10 of this, with the rest of the money mostly spent online buying music downloads and books.

A little over one-third of parents give their teen children less than €20 a month in pocket money, while another third of parents are handing over between €21 and €50 every month.

One in 10 parents gives their teenage children more than €50 a month in pocket money.

Online purchases are taking place without regular help from parents, the research carried out by iReach shows.

Nine out of 10 young teenagers and pre-teens shop online. And the vast majority of secondary-school children own a mobile phone. Average spending on bills and credit is €12 a month.

The survey also found that just one-third of parents are confident that their secondary-school-going children understand financial terms like interest rate and fixed rate. Parents feel youngsters should learn about money at school.

The bank has launched www.controlyourmoney.ie to help pupils and teachers manage their money.

Danske Bank's Maria Sheehan said financial literacy was an important part of a child's general education.

UNDERSTANDING

"Our research shows that parents want their children to have a strong understanding of their own money and personal finance and that they would like their children to learn these skills as part of their school curriculum," she said.

She said that a high level of financial literacy not only enriched the lives of individuals but also contributed to healthy economic growth in society.

"Improving the financial skills and knowledge of money and personal finance among our teenagers will ensure that they are better positioned for their own future in society," Ms Sheehan said.

Irish Independent

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