Children sometimes can’t wait to grow up. Most of them want to take on the responsibility of having a job. For most parents, this isn’t an issue once the child becomes legal age. However, we should not let them venture into employment on their own without proper guidance and advice. Here are 4 key ideas to teach kids about their first job.
No matter what job your child gets, it’s important that they understand how to be professional. They may not see today how acting in the utmost professional manner can benefit them while working at a fast food restaurant or telemarketing agency, but they will thank you later in life if they grow and prosper with the company. Professionalism includes being proactive on the job. It also involves coming to work on time. They should stray from social groups during non-break hours.
Payroll – Taxes and Deductions
The most important thing your kids will care to discuss is payroll. They want to know how and when they will get their money. Help your child establish a checking and savings account if they do not already have one. Next, teach them how to set up direct deposit and have funding go into their checking and savings. They should understand how important it is to have an emergency account. Teach them about how they will fall into a tax bracket and must start filing Federal and State taxes. They should also understand about Social Security and Medicare taxes. Go over any other local taxes you may have.
Generally, someone under the age of 18 may not quality for medical benefits, but if your child is of age, you should help walk them through medical benefits. Medical benefits will include health, dental, and disability insurance plans. You should also inform your child about how their employer automatically will cover them for workman’s comp and general liability insurance.
Finally, if your child is eligible to participate, there are stock options and 401k retirement benefits to partake in. They may not want to see money disbursed into an account they have no access to, so you must explain to them how retirement plans work. Let them know this is money put up for their future. They may be very understanding once you explain how their employer may give them free money towards their 401k plan. Another financial benefit could be tuition assistance. Explain to them how they may be eligible for financial assistance should they stay with the company.