Helping your teen land their first job can feel like a major milestone. It’s about more than just about earning money — it’s an opportunity for growth. From learning how to manage their time and money to discovering their strengths in the workplace, this first job is a chance for them to gain valuable life skills. As a parent, your support can make all the difference in helping them navigate the process with confidence and set the foundation for their future success.
As your teen prepares for their first job they should consider several factors. They need to think about how to find the right job, manage their earnings and learn to save. Below we’ll guide you through these aspects to help your teen successfully navigate their entry into the workforce.
Finding the Right Fit
First, your teen must apply for and secure a job that aligns well with their abilities and interests. Not everyone is suited for every position, even at the entry level. Although finding a job that challenges your teen may seem beneficial, keep in mind that starting any job is a new and unfamiliar experience for them. Starting a new job will naturally push them beyond their usual routines and environments.
Help them choose a job that feels like a good fit for their personality and skills. For example: if they’re outgoing and enjoy interacting with others, a role as a server or cashier could be a great option. Or, if they love being active and spending time outdoors, a lifeguarding job could be perfect.
The key is to find a job that plays to their strengths. While they don’t need to be head over heels in love with their first job, they should enjoy it enough that they don’t develop a dislike for work in general. A positive experience can help them feel motivated and open to future opportunities.
Handling the First Paycheck
Do you remember the first time you received a paycheck and eagerly opened it, only to discover it was much less than you expected? You probably wondered what FICA was and why so much was taken out. It’s helpful to explain how paycheck deductions and taxes work so your teen can better understand how finances operate in the real world.
Even with deductions, that first paycheck could be the most money your teen has ever had (unless they’ve been saving for a while). As those paychecks keep coming in, they may be eager to spend on things they hadn’t considered before. It helps to understand your teen’s spending habits: Are they a big spender or more of a cautious saver?
If you’d like them to pay for more of their own expenses, like their cell phone bill, have an open conversation about it. If you’d rather they save for their college fund or future goals, make that clear. Either way, learning how to budget and save is essential.
Learning to Budget and Save
Teaching your teens how to budget and save is a crucial life skill. The earlier you start these conversations the more equipped they’ll be for financial independence later in life.
Start by helping them open a savings or checking account and set up direct deposit so their paychecks go straight into their account. Then, guide them through a simple budgeting plan. One common approach is:
- 20% for debt repayments and savings
- 50% for things they need
- 30% for things they want
If your teen isn’t responsible for any bills or debt at the moment, you may want to suggest they allocate a larger portion, like 50%, toward savings. This will help them build good financial habits while still having plenty of money left for things they want.
Help Your Teen Start Saving
Now that your teen is getting a job, they'll need a place to save and grow their money! Horizon offers youth savings and checking options to help kids and teens get on the path to a secure financial future. Visit a branch to open an account with your teen today!