Under 18’s are illustrating their money management skills and savings habits at an early age by saving a substantial part of their monthly income, according to the M&S Under 18’s Work and Money Survey 2010.
The research found that children aged 8 to 13, described as ‘tweens’, saved half of their income in either a piggy bank or savings account – teens, aged 14 to 18, saved 30%. It also highlighted that a child between the ages of 8 to 9 has an average monthly income of £9.70, which multiplies to an average income of £219 by the time they reach 18.
Almost 40% of tweens participating in the poll said they earn their pocket money by doing household chores, 10% more than the number of teens, which reflects the older age group’s tendency to look for other ways of making money aside from duties based within the home.
Nearly 90% of teens said they would like to have a part time job by the age of 18 and said it would teach them responsibility and aid them in their future employment plans.
The survey also found that over 80% of parents have talked about the ways to spend and save money with their children, with 60% discussing budgeting and financial news as well. In addition almost two thirds of parents have helped their tween open a savings account.
Amanda Newman, head of marketing at M&S Money, said: “The survey shows that Britain’s 8 to 18s are clued up and motivated by money and work to a surprisingly mature extent. They have great savings habits and a tremendously positive attitude to earning their own money both for its own sake and to gain career building and life skills”.
She continued: “It is great also to see that many parents and grandparents are giving children a good awareness of money matters by talking to them about spending and saving, and it is clearly having a benefit”.