Monday Night Finance- Volume 74


29 Best Places That Hire 14-Year-Olds & Other Teens

Getting a first job is a teenage right of passage. Not only can jobs help your teen save money for college, but they help them develop important skills and build their resume for future employment and college applications. And let’s not forget how important jobs can be for socialization. If you think back to your first job, I’m sure most of your memories involve the camaraderie of working with other teens. However, not all jobs are available to all teens. If you’re younger than 16, there are only a few potential employers for your teen.

The Fair Labor Standards Act (FLSA) says that the minimum age to work most jobs in the U.S. is 14 years old. However, every company is different, so you need to contact them to find out their specific child labor laws and hiring requirements in your area.

~The Savvy Couple

This article by the Savvy Couple highlights 29 jobs that are available for teens who are younger than 16. Most of the jobs on the list are either fast food companies or grocery stores. Depending on the specific brand, you may need to be 15 to work there. In addition to typical, W-2 jobs, the article highlights some businesses teens can start, such as dog walking or freelance writing.

How to Use Tax Diversification to Reduce Taxes Now AND in Retirement

I think we’ve all heard the saying about the only two certainties about life are death and taxes. While we can’t choose when we die, we can however choose when we pay taxes (with at least some of our money). In the United States most of us can choose between saving money in tax-deferred accounts (like an IRA or 401(k)), tax exempt accounts (like a Roth 401(k) or Roth IRA), or in taxable investing accounts. It’s easy to find articles on the internet proclaiming that you should only use Roth accounts to avoid taxes. But is that the optimal strategy for everyone?

Paying attention to your taxes now AND your taxes later will give you the tax diversification and freedom you’ll want during retirement. A tax-diversified portfolio should be made up of tax-deferred, Roth, and taxable accounts.

The White Coat Investor

This excellent article from The White Coat Investor shows how using a balance of all three types of accounts can help you minimize taxes throughout your life. While traditional accounts can help you minimize your taxes during your high income earning years, if you accumulate a lot of wealth in traditional accounts, you could be in the same tax bracket (or a higher tax bracket) in retirement. On the other hand, if you save all of your money in Roth accounts, you will have a very low tax burden in retirement… but at what cost? The article runs through several different scenarios showing how and when it might be advantageous to mix and match different types of investment and retirement accounts.

How to spend guilt free

Spending money is part of life. There is nothing inherently good or bad about it. Every day you turn on lights and faucets but I doubt you think about it in terms of the money you spend on them until you get your water or electric bill. In addition to boring expenses like electricity, we also have necessities that we have some control over. Should we buy roast beef or eat humus? Do I need a custom tailored suit, or can I show up to work in something I bought a second-hand store? While we often move through life without thinking deeply about these issues, occasionally, we’ll be racked by guilt after a purchase. Since it’s impossible to get through the day without spending money, it’s important we all find a way to get through life without feeling guilty about our spending.

Guilt often comes when you bury your head in the sand and don’t address your spending and finances in general. Don’t be scared to look at your bank balance. Knowing what you’ve got to work with is the first – and most important – step.

The Twenty Percent

This article by The Twenty Percent talks about what to do if you find yourself feeling sad or guilty after making a purchase. Guilt is often a sign that we are doing something we shouldn’t be. So identifying the source of your guilt is a great first step. Often, guilt can arise because we are spending money that we don’t have. Finding a budgeting tool (like CountAbout) can be a great first step to helping you make sure your spending is staying within your means. If you are still feeling guilty, then you made need to do some deeper analysis into why you feel like you cannot spend money. You might want to check out the post for more details about how to get healthy with your spending.