Your teen's summer job and the summertime blues
By Cora Barnhart • Bankrate.com

Each year, teens race to get summer jobs.

But the teenage job experience is more than a rite of passage for the 14-year-old clutching that first paycheck. It requires some special flexibility from employers and gives parents a chance to instill some good money habits that will last a lifetime.

Whether you're a teen confronting the job market and the mysteries of payroll deduction, an employer considering a teen or a parent considering the tax consequences, we've got answers to prevent the summertime job blues. It's that time, after all. Summer kicks the teen job market into a high gear. Bureau of Labor Statistics figures say the number of youths with jobs increases by 2.5 million from April to July.

Looking for a few good kids?

Susan Moore is a former supervisor for the JCPenney catalog office in Florence, S.C., where she hired teenagers for 20 years. Her advice: Find one good one and they'll send you more. "It is a rare teenager who will recommend a lazy teenager to share his workload," she says. "Teens are many things, but stupid isn't one of them."

Employers will need to be flexible. Younger teens are more likely to depend on others for transportation, which can lead to dependability problems. You are also likely to find that the teens you will enjoy working with are likely to be involved in other activities that you'll have to accommodate. Moore found that hiring teens from different schools was an effective way to avoid scheduling problems caused by exams, sports and other high school activities.

Many small businesses recommend taking applications and keeping them on file, even when you don't have current openings. As Amy Matthews, the bookkeeper for the Hyman Law Firm in Florence, S.C, puts it, "You never know when your pick of the litter will turn out to be a bomb." One promising extra hand for the summer had to resign after her first day. Matthews emphasizes that depending on a new teen to carry the load can be a disaster.

Still lost on how to find a teen? Contact local schools. Guidance counselors may know of reliable students interested in running errands for a law firm or answering phones for a flower shop. You may also want to consider contacting placement or career service offices at local colleges. They can advertise your position to students looking for summer jobs.

Sonja Moore, the director of Career Services at Lander University in Greenwood, SC, suggests contacting these offices as soon as possible. "Give a clear picture of what you need ... so that you don't get a lot of calls from people finding out what you are offering," she says. "Offer a pay rate more than minimum wage if you would like to attract more and often better candidates."

Despite the difficulty in finding and keeping good teens, Moore points out that they can bring benefits, particularly in retail businesses. "Teens are high on energy and enthusiasm, and this can be contagious to customers."

She also stresses that teenagers aren't likely to be set in their ways, making them more receptive to trying something new. Many businesses diving into computer technology, such as setting up an Web site, for instance, often turn to teen employees to take the first steps.

Looking for work?
Parents and teens have as many questions about finding that first job as employers do about finding teens.

For teens looking for that first job, it can be as easy as talking to a neighbor who needs a lawn mowed, or as challenging as getting slicked up for a job interview with a major corporation.

Word of mouth can be useful. For instance, parents come in daily contact with people who are potential employers of teens. A bridge partner might be a judge, or the bookkeeper they use might be looking for a receptionist. Teens should think about this when they talk to their parents at dinner. Speaking up about an interest in law or accounting can be productive -- many teens may have been planning to make their first million as a drummer the last time a discussion of career interests occurred.

teenagers should make sure their high school's guidance counselor and secretary know they are seeking summer employment. They should also bug parents and employed friends about potential job openings where they work.

Parents may get frustrated when teens don't find a job or seem too picky. Teens have been known to disguise disappointment with indifference when a business owner doesn't call back. Be patient but persistent. Encourage your teen to try to get to know the managers of their favorite music store or electronics shop. Putting on a tie and asking a couple of well-thought-out questions about a business can leave a favorable impression. Remind your teen that coaches, ministers, teachers and other activity leaders also provide avenues to jobs.

Surfing the Internet is also worthwhile. The Public Television Outreach Alliance has developed the Kids & Jobs! Web site to explain the working world to teens, including a special section on "New Century" careers. Its Teen Career Center helps teens plan and prepare for careers, visit specific job Web sites or discuss "cool careers." Career guidance tools are available in the Guide for Parents and Educators.

Another site teens and their parents should check out is the Teen Exchange at about.com . Teens can search for jobs, learn about new careers, post resumes and review more than 200 sample cover letters. Also worthwhile is Summerjobs.com, which has a search engine that lets teens browse for work by location or by job type.

Some states have started using the Internet to provide job information for teens. For instance, the Job Service for North Dakota provides links for teenagers looking for jobs.

Time to talk money
While the teen is still job-hunting, it's a good time for parents to have a serious chat about money management.

Parents may find that their teen's spending plans for summer pay are geared toward different goals than theirs.

Regardless of the stretch between these sets of expectations, a little planning before the job begins can go a long way in terms of heading off trouble. Denise Witmer, a parent who dispenses advice about raising adolescents on About.com, has developed a set of money management rules with her teens that she has found effective.

She first instructs them to obtain a bank account, one that she can check if necessary. Insisting that a teenager have an ATM card relieves a parent of the burden of serving as an interim lender when the bank is closed.

Half of the teen's pay is saved for their future. This may be for college or for a car if the teen intends to work full-time after leaving high school.

What happens to the other half? Witmer's teens save 80 percent of their pay for something big that they want now, such as a CD player or TV set.

Parents may want to encourage teens to think of something they may want to use when they are on their own, such as a computer or a special piece of furniture. If your teen tells you there is nothing that he wants, suggest something he might need but would probably prefer not to purchase himself. Witmer finds this often helps teens come up with an idea quickly.

The other 20 percent of a teen's pay? If it is less than $25, she suggests just letting the teen spend it. While this is a figure that has worked well for her, parents may need to adjust it if their teen makes more. Parents should also not critique their teen's spending choices. After all, do you remember your mood ring, buffalo shoes and that outrageous collection of pet rocks?

If your teen is sticking to your money management rules, you should bite your tongue.

Keep a record
Finally, have your teen record how he follows this plan in a folder. One column should record weekly income, and other columns should record how much is saved. The folder should be kept where the parent can access it at any time. Parents should check it frequently.

Think this won't fly too well with your teen? If you're told this is a private matter between the teen and the bank, you may suggest that moving out will provide the teen with all the privacy that he'd like. While you may prefer to keep this discussion humorous, Witmer emphasizes being steadfast in this area. "I am a firm believer in trusting my teens, but only in areas where I can catch them when they fall," she says. "Money is not one of those areas."

Keeping a folder doesn't have to be entirely combative. Don't forget to praise your teen for his discipline, both in terms of following a budget and maintaining a record. As Witmer puts it, an occasional reminder that "Ten more bucks and you can watch The X-Files in your room!" can go a long way. Even though a teen is making his own cash now, an unexpected treat or reward for attaining a financial goal could mean a lot.

If the plan above sounds too inflexible for you or your teen, don't totally discard the idea of formalizing a money management plan. You can always loosen up restrictions on spending, but imposing new ones after the plan is finalized will be almost impossible.

Even parents who don't follow the plan prescribed here tend to enforce rules with similar spending outcomes. For instance, Moore, who was at home raising five teens when she wasn't hiring other parents' teens at JCPenney, developed a financial contract with her 16-year-old son, Chris, regarding income from his summer jobs.

One major aspect of this agreement addresses Chris' share of annual car insurance payments for his truck. These expenses are going to be increasing his junior year, but he had planned on working less so that he can improve his grades for college and play on his high school football team.

While both Chris and his father hesitated at first about signing a formal agreement, the results have been worth the fuss, Moore says. "Chris understands that anything extra that he is able to hand us now will result in a smaller insurance bill next fall, when he'd like to spend his afternoons at football practice instead of his job."

Although the contract doesn't take every dollar of Chris's weekly income, the expenses stated for his share of insurance and other items are enough so that "he doesn't have too much extra to get into too much trouble," Moore says. Changes in insurance premiums due to traffic tickets are also considered in this agreement.

The contract also addresses another potential minefield for parents of fashion-conscious teens -- a budget for back-to-school clothes.

The contract states Chris' share and his parents' share for every item of clothing. If Chris wants to go beyond $35 for pants and $40 for shoes and get a pricey designer brand, he understands he can earn extra to buy them. "Having it down in writing avoids a lot of arguments," his mother says.

-- Posted: June 18, 1999