Discussions

In regard to how much you expect your child to put into savings from each pay check they get? I was thinking 40%? My fifteen year old will be starting first job shortly and I want to start the savings immediately. TIA,

As mech as they can possibly afford to spare should be put into savings, but you know it’s ultimately their own decision .

I am impressed that you are teaching your child this life skill. I've only been a step mother, but to do over (whether my kid or not), I would start from the very beginning, teaching them to put a certain percentage of even their small allowance (.25 cents of say $1.00: I'm speaking about when they begin earning the allowance). It's not the amount, it is the lesson that counts. You are absolutely doing the right thing. Not sure how much to say, but start with even a small amount and go from there. Wow - good for you.

Good for you to start this with your teen! My suggestion would be to introduce the envelope method along with it, to help learn budgeting.  
 
Envelopes for things like fast food, entertainment, fuel and car repairs (if applicable), their cell bill, “junk”, video games etc. Then decide what a fair amount for each would be every payday. Put that exact amount in the envelope with cash. Whatever is left over from the paycheque goes into the savings account.  
 
When the cash is gone, they either have to wait for payday again or take money from a different category. The first few months may need adjusting as they learn what their monthly spending habits are.  
 
Any cash leftover in the envelopes before payday go into the savings account. I know everything is so different these days but I honestly think teaching kids with cash first is beneficial. They can see it come and go through their hands. It’s not just some “thing” that the debit card deals with, so to speak  
 
Good luck, I hope your child enjoys their first job!

I would say at least half of the cheque should be put away or invested into something. 50-60% is what should be held and 40-50% that they do have an opportunity to spend is to be spent wisely.

I am glad your kid is grow up with this experience. Definitely 40 percent sounds reasonable.  
 
If you are financially able to elaborate on this experience, match his savings at 5% or something so he will learn about employee pension matching.