Turning 16 - what to consider financially?

Lilyboo12

My eldest daughter is going to be 16 soon and we’re trying to help her consider everything finance-related for a 16 year old.
She already has a bank account and now has her NI number. She’ll get a 16-25 railcard (using Tesco points of course). What else should we be thinking about? 

ISAs? Anything else she can get once she’s 16?

McKneff

Married...

bizzie

Electoral Register

hugheskevi

Passport, Driving Licence, Personal pension, Premium Bonds, Quidco account, GHIC, Yellow Fever vaccine, annual travel insurance, and a moped.

That would be a very well sorted 16-year old

Edit to add: Junior ISA

onomatopoeia99

McKneff said:

Married...

only if Scots with no connection to England and Wales, with the way that the law set by Westminster for England and Wales is now.  

While legal Scots marriages are recognised in England and Wales, they aren't if the person is 16 or 17 year old UK national, and was habitually resident in England and Wales at some point and is not habitually resident in Scotland or Northern Ireland when the marriage is conducted.  In that combination of circumstances they become legally defined as a victim, not a spouse.

So no more eloping to Gretna just over the border from Carlisle, discovering there's a six month waiting list as loads of people that aren't eloping want to get married there, then nipping up the road to Annan where there isn't a waiting list.

Exodi

hugheskevi said:

Passport, Driving Licence, Personal pension, Premium Bonds, Quidco account, GHIC, Yellow Fever vaccine, annual travel insurance, and a moped.

That would be a very well sorted 16-year old

Not so sure on the premium bonds, I can't imagine most 16 year olds have both a) mountains of spare cash and b) a need to target tax wrappers considering they're unlikely to be higher rate tax payers. Similarly with annual travel insurance we all come from different walks of life but I certainly wasn't jetting around the world at 16. It's possible they may be covered under some form of family policy in any case.

Of course, children that have been 'well set up in life' may have a requirement for those things.

@ OP I don't actually think anything exciting happens at 16. If she's working a part time job, it would be good to get her into the habit of saving.

One of the best habits I learned was to immediately put money into savings when you get paid (either by standing order or manually).

I don't know why but psychologically having £500 in my current account made it feel like I had money spare to blow, whereas having £50 in my current account and £450 in savings (even in an easy access account that could be transferred instantly at whim) made it feel like I had to control my spending.

Even decades on I still do this (I get paid, then transfer everything to our joint bills account or savings, leaving myself with a few hundred pound for the month).

However you decide to colour it (some people call it paying yourself), it's all about habit formation for the future. 18 year olds can be (in)famously volatile with their spending.

thegreenone

You can set up a standing order for £25 per month for Premium Bonds.

Spendless

Are you aware of the 16-17 saver railcard instead of the 16-25? It gives a better discount (50%) can buy season tickets using it and theres no time restrictions like the 16-25 has.
I just don't know if its available with Tesco points, but Id have a look at both see which would work out the best value. 

https://www.16-17saver.co.uk/