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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

To get my teen 17 year old a Financial Advisor?

88 replies

Ischial · 04/02/2024 13:16

I want to DS to know how money works and to help him set up a plan. I am hopeless and I want him to learn whilst he is young.

I am a bit nervous about how to find legitimate Financial Advisors.

I personally don't think this is unreasonable.

OP posts:
BoohooWoohoo · 04/02/2024 13:17

Does he have money to invest ?

Definitelylivedin · 04/02/2024 13:18

Has he got any money? Financial advisors are there to help you place your money in the best way, and they then take a cut. They are not teachers.

Goawaytina · 04/02/2024 13:18

A financial advisor will help with investments and mortgages etc...they won't just tell him how to save his money and spend wisely if that's what you're looking for?

Pantsonfire5 · 04/02/2024 13:19

It would only be useful if your DS has an inheritance or similar to do something with, do they?

laclochette · 04/02/2024 13:19

He may well benefit from a financial education but only from a financial advisor if he has money that he needs advice about. I'm not sure an advisor is what he needs.
I imagine there are good books, YouTube series available on this subject. You could read or watch them together and talk about what you're learning together.

tealgate · 04/02/2024 13:19

Just use one of the main banks resources like this one

www.lloydsbankacademy.co.uk/financial-skills

BobbyBiscuits · 04/02/2024 13:20

He needs to do a business studies or finance course either at college or a more informal one online maybe?

Gassylady · 04/02/2024 13:23

Perhaps start with some more general knowledge as an advisor will only be interested if there is a good sum to invest. Meaningful money podcast is good, information on money saving expert covers lots on savings, interest etc. If you Google financial planning uk flowchart it considers debt, savings and insurances too

AnnaMagnani · 04/02/2024 13:26

Financial advisors are interested in optimizing your investments, finding you mortgages and selling you income protection policies.

Unless your 17 yr old is unusually wealthy, I can't see any of this applies to him.

A read of the MoneySavingExpert website is honestly all you need - but I can't imagine any 17 yr old being interested in this.

Muchof · 04/02/2024 13:27

I personally don’t think this is unreasonable

Well it is a bit unreasonable to expect someone to educate your son for free on looking after money. FAs are not providing a charitable service, they are trying to earn a living, you need to look elsewhere.

ItWasntMyFault · 04/02/2024 13:30

Martin Lewis did a guide for secondary school kids explaining everything like mortgages etc - I think it was called Moneywise or something like that.

frazzled22 · 04/02/2024 13:32

Not sure you'd find a Financial Advisor willing to do this.
Maybe this would be a starting point;

www.moneysavingexpert.com/family/teen-cash-class/

They really should be teaching more life skills at school regarding finances, budgets etc

Ischial · 04/02/2024 13:35

No I meant it's not unreasonable, as in some people think I'm putting pressure on him and should let him enjoy his money. I wasn't very clear here!

He is doing a Business Studies A level and wants to have a career in Finance. I want him to know what to do with his money and future earnings.

I have got Martin Lewis's download that he generously made to be taught in schools, but nobody taught it. In private schools they learn how money and wealth works from an early age. They practise on Investopedia from 12 years old.

Just want him to understand it all inside out. Luckily he is keen to start learning.

OP posts:
Ischial · 04/02/2024 13:36

@ItWasntMyFault crossed post yes amazing of Martin Lewis to do that.

OP posts:
Ischial · 04/02/2024 13:39

@frazzled22 Yes I totally agree.

Thank you to everyone posting links and the suggestions, so helpful.

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Maireas · 04/02/2024 13:41

nobody taught it.
They do where I work. He will have convered finances in pshe at school, but use one of the links above to help.

ThirtyThrillionThreeTrees · 04/02/2024 13:44

I think what you are trying to do is very admirable but as other have said, most financial advisors deal with the bigger financial topics like mortgages, life cover, critical illness, investments, estate planning.

Here's a few basics you could try:

1- Get him to understand his payslip - teenagers often over estimate their earnings. I'm on £10 an hour so they automatically think £350 a week and don't consider taxes ir any other charges

2- Get him to start having as soon as he earns even if only £10 a week- he needs to set up a regular savings account with his bank

3- Get him to understand how much money he has, what he needs to pay and who much else is left. Use a spreadsheet our even just a page
£280 a week
£80 rent
£10 savings
£20 food
£10 transport to work
£10 phone bill
£150 to cover everything else etc

4- Get him to consider how long it will take to save purchase a pair of £80 runners if something, 8 weeks if saving a tenner, 4 weeks if savings £20

5- Explain the importance if looking for the vest price for something - search online, see if he'll get a better deal with student discount, does the store do bank holiday weekend specials, does he get 10% off if he signs up to newsletter etc

6- Explain that it is to avoid bad habits, gambling will destroy his credit record. Having his accoubt go overdrawn will too.

7- Suggest he watch some podcasts on money management.

8- Suggest he use the money management app thar his bank will probably have or get a bank that offer one

Then when he's earning a little more, he should book a free meeting with his student officer at his bank

Ischial · 04/02/2024 13:46

@Maireas You're right I do seem to remember him learning a bit and him mentioning APR etc, but not to the extent private schools teach children. They get a fantastic in-depth grounding in finance from a young age.

OP posts:
ThirtyThrillionThreeTrees · 04/02/2024 13:46

Just see he is doing business A levels.

That's a huge help. He has probably covered everything on my list already.

The fact he already has a natural interest in this sort of thing he will be fine.

Ischial · 04/02/2024 13:47

@ThirtyThrillionThreeTrees I am grateful for this - thank you. Having it broken down like this in summary is so useful. Flowers

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cloudtree · 04/02/2024 13:48

In private schools they learn how money and wealth works from an early age. They practise on Investopedia from 12 years old

what a load of rubbish. They have some lessons on things like credit card debt and apr in phse.

Fabulousfeb · 04/02/2024 13:48

Get him to read and you also read the classics like simple path to wealth etc.

Meaningful money etc and read up about index funds.

Mirrormeback · 04/02/2024 13:48

His business A Levels will cover a lot and open up ideas for him to research further

DorotheaDiamond · 04/02/2024 13:48

Ischial · 04/02/2024 13:46

@Maireas You're right I do seem to remember him learning a bit and him mentioning APR etc, but not to the extent private schools teach children. They get a fantastic in-depth grounding in finance from a young age.

Don’t know which private schools you are thinking of but the one my dd is at (and all the others I have friends at) do nothing of the sort.