YOU EARNED SOME MONEY—NOW WHAT?
Congratulations on participating in this year’s Lemonade Day! The only question remaining now is what to do with your profits. While it’s tempting to go splurge on that video game or those shoes you’ve been wanting, you might want to consider a more practical approach.
Read on for a four-fold approach to managing your Lemonade Day earnings:
Pay off your debts. If you or your parents are in any sort of debt from the costs associated with your lemonade stand, take a portion of your earnings and pay the money back immediately. This way, you’ll be that much closer to financial freedom.
Save some. Put at least a fourth of your money into a savings account of some sort. Whether you put it in the piggy bank or an IRA, it’s important to save some. Developing good saving habits now will pay off in the long run. You’ll be surprised at how much you can accumulate in just a few years if you save $20 a month for the next 10 years. Double that and add interest to the account, and you’ll be well on your way to a healthy nest egg.
Share some. Don’t forget to give back once your debts are covered and you’ve saved a little for your future. Your generosity will come back to you in some form, plus you’ll feel good about funding a cause that means something to you. Consider local churches, community centers, shelters, animal rights organizations and more.
Spend some. You did the hard work, so you should reap some reward. Treat yourself to something special, something you’ve had your eye on for a while. Before you go spending your money impulsively, give it some thought. Hold onto your money for at least a week to make sure you still want the item you had in mind and, if you do, go for it! Exercising this restraint will help you develop good spending habits, too!
Congratulations on a successful Lemonade Day. Hopefully it was a day of fun, learning and lots of yummy lemonade!