Topic 1.5 Lesson Plan
DISCUSSION PROMPT:
Why is the first day of work so stressful?
Write your responses to the questions. Then, share what you wrote with your classmates or a partner.
Why is the first day at a new job so stressful? What are import documents that must be signed (either on day one or before)?
On payday, how would you like to receive your money??
1 5 mins
In this activity, students will be able to:
Describe some of the intangibles of speaking to a hiring manager.
VIDEO:
How to Read a Pay Stub
Whether you’re paid on a regular schedule or sporadically, it’s important to know how to read your pay stub. Watch this short video, then follow the directions to answer the questions within the Google Form.
What is the difference between gross pay and net pay?
What are Pre-Tax Deductions and Contributions?
What are two examples of Employer Contributions?
2 25 mins
In this activity, students will be able to:
Understand gross & net pay; understand pre-tax deductions, & the role taxes play in our lives
VIDEO:
Intro to the w-4 & Tax Withholdings
You just saw that taxes are one of the deductions that reduce your gross pay on your pay stub, but who decides how much tax money to collect from each check? Watch this video to find out, and then answer the questions. Then participate in a class presentation on the U.S. tax system.
*NOTE: A 2020 change to the W-4 eliminated “allowances,” though you do still need to determine how many eligible dependents you have in order to fill out your W-4
Who would you say determines how much to withhold from your paycheck -- you or your employer? Explain.
If withholding taxes reduces the amount of take-home pay you receive, why wouldn’t you just complete the W-4 so that you minimize your tax withholdings and maximize your paycheck?
3 25 mins
In this activity, students will be able to:
Understand the IRS Form W-4 & federal/state tax withholdings
THE FINE PRINT:
Pay Stub
Now that you know what’s on a paystub and how your W-4 impacts the taxes portion of your paycheck, let’s put your knowledge to the test. Follow the directions on the worksheet to complete this activity.
4 20 mins
In this activity, students will be able to:
Examine a pay stub to understand the layout & where to find important tax information
ARTICLE:
Your Guide to Direct Deposit:
How to Get Paid in 2023
When you start a new job, it’s a good idea to sign up for direct deposit of your paychecks, which will send your payment directly into your bank account without needing to cash a physical check. Read 2 sections of this article & then answer the following two questions.
Who can use direct deposit?
How to sign up for direct deposit?
5 15 mins
In this activity, students will be able to:
Understand the basics of employee direct deposit
REFERENCE POINT:
Employer Responsibilities
In addition to direct compensation & other optional benefits or perks, the law requires your employer to offer a few basic benefits. Review this deck to find out what these requirements are, & then we will answer the questions as a class.
In your opinion, which slides from the deck outline employer responsibilities most beneficial to you as a teen worker or other teen workers?
Why do you think the government mandates some specific benefits and policies for all employers to follow?
6 15 mins
In this activity, students will be able to:
Understand what responsibilities that employers have to employees.
VIDEO:
The US's History of Employer-Sponsored Health Insurance
You may be surprised to learn that most full-time employees get their health insurance through their employer (even if you don’t work in the insurance or healthcare fields). How did the United States come up with this system? Watch the clipped portion of this video and then respond to the prompts.
In your own words, describe how the system of employer-sponsored health insurance came to exist in the US.
One PRO of getting your health insurance through your employer is it’s cheaper than buying a private plan in most cases, & at many jobs, your employer pays part of the premiums, too. But, brainstorm a possible CON of employer-sponsored healthcare.
7 5 mins
In this activity, students will be able to:
Determine how insurance has evolved in the U.S. economy & what that means for you personal finance
VIDEO:
What is a 401(k)?
You just learned that, in addition to your income, some jobs offer health insurance as a benefit. Another highly valued benefit is a 401(k) plan, which is a retirement investment account. Watch the video & then answer the questions.
When do you pay taxes on money invested in a 401(k)?
What advantages does a 401(k) plan have over saving for retirement in your bank account?
Describe what a vesting period is. Why do you think companies would include a vesting period on employees’ 401(k) plans?
7 5 mins
In this activity, students will be able to:
Understand what a 401K is & where it comes from?
PROJECT:
First Week on the Job Means Paperwork
Throughout this lesson, we’ve explored multiple benefits your employer may offer. Follow the directions in this project to practice completing the paperwork needed to jumpstart these benefits. Two out of the 5 forms can be found in the Google Form. The other three will need to be printed as hardcopy & filled out with a pen.
Health & Dental Enrollment
* Complete & submit page 1
401K Form
* Your employer will match up to 3% of your contributions (ignore the contribution limit listed)
**Complete the self-assessment on page 7 & complete pages 11, 13 - 15
Employee Direct Deposit Enrollment Form
* Use the Blank Check and Savings Account Statement provided to complete the Direct Deposit Enrollment Form
**Ignore that the Check & Statement have different names/addresses on them. In reality, it'd be YOUR name & address!
8 35 mins
In this activity, students will be able to:
Complete employee paperwork to initiate tax withholdings, direct deposit, health insurance, & 401(k) contributions.
ARTICLES
Publisher: US Department of Labor
Publisher: NGPF ✴CRE and Equity
Publisher: NWLC ✴CRE and Equity
Publisher: Teen Vogue
Publisher: Teen Vogue ✴CRE and Equity
VIDEOS
Publisher: CNBC ✴CRE and Equity
Publisher: CNBC
What percent of taxpayers don’t know what a W-4 is?
Does N.Y. state require employers to give employees a pay stub?
What percent of employees receive their paycheck via direct deposit?
Currently, there are 331.9 million in the U.S. How many Americans have no health insurance?