Under pressure from the media, preteens are in danger of developing some very bad spending habits. According to the Summer 2007 edition of On Investing: Strategies & Ideas for Clients of Charles Schwab and a 2003 Harris Poll, the youngest of Generation Y (those born between 1982 and 1995) spend more than $19.1 billion annually, 87 percent of which is supplied by parents.

To become a good money manager:

• Ask your parents to help you open a savings account, if you do not already have one


• Discuss starting an allowance with your parents. Talk about how you might spend a portion for items such as snacks after school, but also save a portion in the new savings account for a bigger goal


• Ask your parents how they are saving for their retirement, your college education, family vacations and other things


• Talk with them about their own values and priorities that help them decide how they spend their money

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