Week 27 -- "Understand your paycheck" -- Grade 9
Suite360 Student Lesson Name: Understand your paycheck.
Brief Summary: When your child joins the work world, it can be a very exciting time for them. They are developing independence and beginning their lifelong relationship with money management. There is an enormous swing in terms of financial literacy and it is important as parents to help your teen learn how to manage their money and live within their means.
Shared vocabulary: None
- There is a difference between what your hourly wage is verses how much you will bring home: Gross vs. Net income.
- There are multiple factors that need to be taken into consideration when understanding gross vs. net income. Deductions are a part of life and understanding what they are and why they are taken out of a paycheck is important.
- Reading a paycheck and knowing what to do if it is not correct is something that needs to be monitored and addressed with an employer.
- Financial literacy is a life skill that needs to be taught.
Continue the Conversation:
- What goals do you have with getting a job? Is there a certain skill set that you want to gain?
- What are you going to do with the money you make? What is a realistic balance between saving a portion of each paycheck and what you keep as “fun” money?
- What is the difference between a checking and savings account? Do these accounts come with a debit card? How do debit cards work?
- Is there a difference between an hourly wage and salary?
- What are deductions, why are they taken out, and what are they used for?
Additional resources/suggested reading: