A summer job does more than teach your teen how to earn money. The 17.3% of Maryland teens who serve snowballs, walk dogs, and mow lawns while school’s out learn invaluable financial responsibility. With a little parental guidance, your teen’s summer gig can teach smart saving and spending habits.
Here’s how teens can make their earnings work harder and how parents can support their financial journey.
Why summer jobs matter for teens
A part-time job gives kids purpose while still allowing plenty of time to relax.
They introduce teens to life skills necessary after high school, whether they’re off to college or joining the workforce, including:
- Time management
- Budgeting
- Basic banking
- Taxes
- Teamwork
- Communication
- Problem solving
Practicing money management with parental supervision helps set your kid up for smart financial habits.
How teens can make their money work harder
Maryland teens make about $920/month at summer jobs. Before they collect that first big paycheck, help your teen start strong with these tips.
- Build a simple budget: The 50/30/20 rule–50% needs, 30% wants, and 20% savings–is an easy formula for beginners.
- Set goals: Discuss how much money they expect to make this summer and create a realistic plan for reaching their car, concert, or savings goal. Break it down by paycheck. “If you save $60 for five weeks, you’ll have $300 for the concert.”
- Enable direct deposit: If your teen’s employer offers direct deposit, help them set it up. It adds a layer of accountability, reduces quick splurge temptations, and builds savings automatically. You can do so easily with a teen checking account.
- Try a certificate of deposit (CD): If your teen’s long-term goal is bigger than their expected summer income, consider opening a CD. With higher rates than traditional savings accounts, our CDs teach patience and compound earnings.
Tips to help parents guide the way
Your teen’s financial wins and mistakes are important learning moments. As a parent, try to strike a balance of monitoring financial activity without micromanaging.
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- Promote savings habits: If your teen wants to buy a $150 pair of sneakers, talk through saving $50 for three weeks before buying. Use their budget to show how the purchase will impact their goals.
- Model good financial habits: If your family is saving for a vacation in the fall, share your budget process and the high-level steps you’re taking to make the vacation a reality.
- Stay proactive: Make bi-weekly financial check-ins part of your family’s summer routine. Ask how their savings goals are going, and be open to listening to their thought processes before correcting and advising.
Greenlight helps teens spend smartly
SECU’s partnership with Greenlight offers members a debit card and app designed for teens, with built-in parental controls and educational tools. It’s a fun, risk-free way for teens to manage money with built-in learning.
- As a benefit of being a SECU member, you get a Greenlight subscription for free†.
- Teens get hands-on experience managing a debit card and tracking spending.
- Parents can monitor spending in real-time with notifications, flexible controls, and instantly send money to their teen.
- With the app’s game Level Up™, kids can easily learn money concepts and set savings goals.
Prepare your teen for lifelong financial success
Summer jobs may come and go, but the financial habits your teen builds today can last a lifetime. With the right mix of guidance and tools, you can help them make smart, confident money decisions.
Open a Greenlight debit card for your teen and explore our CD options to make this summer their launchpad for long-term financial independence.
