Managing Money
This is the money that you spend on the things that you want. For example, if your parents are getting you new shoes and they say that you can spend $40, but the pair that you want is $60, then you could use $20 of your spending money to get the pair that you really want. If there is a video game that you want, then you could use your spending money for that too. You can also use your spending money for simple things like a pack of gum, as long as your parents still say that it is ok.
Opportunity Costs
One of the most important things to understand about spending money is the concept of Opportunity Costs. This means that you have limited resources and you can only spend that resource one time. In this example the limited resource is money.
If you only have $10 to spend and you decide to buy a toy, then that means that everything else that you could have done with that $10 is an opportunity cost.
That is why it is important to be very wise about how you spend your money?
ACTION
Take a look in your room. Do you see any toys or things that you don't play with anymore? With help from someone you could go on Amazon and see if you can find what those things cost? Can you figure out how much you could have saved?