Other Free Encyclopedias » Online Encyclopedia » Encyclopedia - Featured Articles » Featured Articles: American Idols Tickets - How to Score American Idols Tickets (and How Not To!) - Where to Find American Idol Tickets to Meet Singles Free - How to Meet Singles Free

Kids Making Money - Providing Financial Guidance for Kids Making Money

older kids finding jobs help them create a budget itemize necessary expenditures establish a checking account

Kids making money with part time jobs is a great way to help them learn how to handle their finances as they get older. If they can learn these lessons while they are still living at home, they will have built in safety nets if they make some mistakes. Parents can take advantage of the time that the kids are making money to teach them how to be responsible with it.

How Younger Kids Could Earn Spending Money

There are several ways that kids who are younger than 16 years old can begin making money. In the United States, kids need permission from their parents to hold regular part-time or full-time jobs. But kids making money does not have to include holding down a traditional job. Many younger kids make extra spending money by mowing lawns for people in their neighborhood. They could also deliver newspapers or start their own dog walking business. The free time and energy of younger kids can be converted into small money-making opportunities if your kids are creative and willing to put in the time.

Older Kids Finding Jobs

Kids who are 16 years old and older can legally begin to work regular jobs. The jobs they choose need to fit around school schedules. Many older kids choose to work at restaurants or retail stores because the schedules are more flexible and the work can be done on weekends and in the evening. Older kids can work at any entry-level position they choose. As long as the hours allow them to continue to do well at school, there is no other limitation on the type of work they can do.

Help Them Create a Budget

When you learn that your kids are going to be making money on their own, sit down with them and help them make a good, solid budget. Let them do most of the work, but offer advice and guidance along the way. It is important for kids to understand how their money will be used once they bring it home. The best time to learn these lessons is when they have very few necessary expenditures and can rely on their parents to help them if something goes wrong. If the money-making venture is relatively regular, have the kids write out each day they expect to be paid and how much money they will make. Then they can begin to fill in the expenditures.

Itemize Necessary Expenditures

Have the kids making money go through their normal weekly routine step by step and write down every time they usually have to spend money. Older kids may need to make car payments or pay for their car insurance. There may be fees involved with joining a group or club. Whatever the regular expenditures are, list all of them that the kids can think of. It is a good idea to map out an entire month so that they are prepared for monthly bills as well as weekly expenditures.

Emphasize the Importance of Setting Aside Money for Entertainment

When kids making money first begin to create a budget for themselves they will probably list all of the necessary expenditures but not list any of the fun things they would like to do with their money. It is important to explain to them that they need to set aside a certain amount of money each week for them to use as entertainment. If they do not build an entertainment fund into their budget, they will always go over budget when they want to do something fun. Fun is an important part of life, so it deserves a line item in everyone’s budget.

Establish a Checking Account

Kids who are learning to handle money should open a checking account in their name. It will allow them to cash checks if that is how they are being paid. It will also be an opportunity for them to learn how to keep track of their money through ledger entries. Kids making money can establish healthy financial habits as soon as they begin to work with a bank and keep track of their accounts. There are several computer-based financial software packages that are fun and easy to use and will help teach kids how banking works.

Kids Movies Online - How to Find Kids Movies Online [next] [back] Kidsline Crib Bedding - Kidsline Crib Bedding Offers Complete Nursery Suites

User Comments

Your email address will be altered so spam harvesting bots can't read it easily.
Hide my email completely instead?

Cancel or