How to Make Money as a 12 Year Old

Earning money as a 12-year-old can be a significant step towards financial independence and understanding the value of work. Various opportunities exist, whether the goal is to save for a desired item, contribute to household expenses, or gain a sense of responsibility. These ventures allow young individuals to learn about earning, saving, and managing their own funds. This process offers a practical introduction to financial concepts.

Age-Appropriate Earning Opportunities

Many avenues for earning money are suitable for a 12-year-old, involving services within their community. Babysitting is a classic option, particularly for younger siblings or trusted family and neighbors, with rates ranging from $10 to $20 per hour. Taking a Red Cross babysitting certification course can enhance skills and marketability.

Yard work presents another consistent opportunity, especially during warmer months. Tasks such as raking leaves, watering plants, weeding gardens, or shoveling snow can earn a 12-year-old between $10 and $15 per hour. For specific jobs, a flat rate might be negotiated, such as $25 for mowing a large lawn or $10 for clearing debris. Car washing services can also be offered, yielding $5 to $10 per car.

Creative pursuits offer a way to earn by selling handmade crafts. These can include greeting cards, keychains, beaded jewelry, pet treats, or homemade soaps. These items can be sold to family, friends, or at local events. Tutoring younger children in subjects where the 12-year-old excels is another possibility, paying between $10 and $20 per hour.

Other informal jobs include assisting with house cleaning, which can command $10 to $15 per hour, or setting up a lemonade stand, which might bring in $10 to $30 per day. Dog walking and pet sitting are popular, with earnings between $10 and $20 per visit or walk.

Finding and Securing Opportunities

Identifying and securing earning opportunities begins within one’s existing network. Asking family members, trusted neighbors, or family friends if they need assistance with tasks is an effective approach. Clear communication about the services offered and availability helps establish expectations.

Creating simple flyers or business cards can professionalize the effort and reach a wider audience within a safe, familiar area. These can be distributed to houses on a block or given to family members to share with acquaintances. Word-of-mouth referrals are powerful, as satisfied clients recommend reliable young workers to others.

For ventures like lemonade stands or selling crafts, setting up in a visible, safe location, such as a front yard or at a community event, can attract customers. When approaching potential clients, demonstrating reliability and politeness is important. Confirming tasks, agreed-upon rates, and completion times helps build trust and ensures repeat business.

Important Considerations for Young Earners

Before a 12-year-old begins earning money, parental involvement and permission are important. Parents should discuss expectations and establish clear boundaries regarding the types of jobs, hours, and locations. This ensures earning activities remain safe and do not interfere with schoolwork or other responsibilities.

Prioritizing safety is important for young earners. This includes working in familiar environments, avoiding unknown places, and informing parents about work details, including who they will be working for and for how long. The U.S. Department of Labor provides guidelines for young workers. Employers should ensure that young workers are not exposed to hazardous tasks or equipment.

Understanding basic professionalism is beneficial. This involves showing up on time, completing tasks as promised, and maintaining polite communication with clients. While formal child labor laws apply to those aged 14 and older, for self-employment income, if earnings exceed $400, a minor may need to file a tax return and pay self-employment taxes.

Managing Your Earnings

Once money is earned, learning to manage it effectively is a key financial skill. A significant portion of earnings can be saved for specific goals, such as a desired item, future education, or a larger investment. This can involve using a physical piggy bank or opening a bank account.

Minors cannot open a bank account independently; a parent or guardian must open a joint or custodial account on their behalf. For a savings account, there is no age requirement, but for a checking account, some banks may require the child to be at least 13 years old. This process requires identification for both the parent and child, such as a state ID or passport, and an initial deposit.

Saving money in a bank account allows for secure storage and can introduce the concept of earning interest. Spending wisely involves making informed decisions about purchases and distinguishing between needs and wants. A small portion of earnings could be considered for charitable donations or as a contribution to family expenses.