WATCHING YOUR WALLET: What your child should do when they start their first job

WATCHING YOUR WALLET: Best advice to give your kids starting their first job

(Gray TV) - If your child is starting their first job, tell them to put money into an IRA or 401(k) right away.

Before they ever get that first paycheck, make sure they are putting money into one of those accounts.

The earlier you do this in life, the better off you'll be by retirement age. If your child is diligent about this, they could retire a millionaire.

Michael Joyce with the financial firm Agili says it's what he told his own children.

“I told them 10 percent of their paycheck right into the 401(k) plan because they’re never going to miss it. They’re going to get some of the pretax benefits and they will start building that,” Joyce said.

If 10 percent is too steep, shoot for five percent and add a percent each year or whenever you get a raise.

Long term financial security is truly the best advice you can give.

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