Your First Paycheck - A Plot Twist!

 You've seen the ‌Tiktoks. You know the look. Someone gets their first paycheck, holding the envelope proudly and when they open it, they GASP. They expected $1000 and only get $870.

Where did it go? It got divided into buckets: Social Security, Medicare and maybe health insurance or retirement contributions (like 401k or Roth 401ks).

It's kind of a bummer the first time you see your "salary" turn into "take home pay".

My first summer job was at the legendary Town Bagel on Long Island. They had a line out the door from 7am to 1pm and, at sixteen, I loved the coffee, the cream cheese and the chaos.

(If you're in the neighborhood, hands down the best bagel you'll ever eat.)

I dreamt of my first $200 paycheck and what I'd be able to buy at Contempo Casuals with it (bedazzled jean jacket, scrunchie socks, matching headband...).

After two weeks, my boss, Steve, handed me my first paycheck—an actual paper envelope—and when I opened it in my mom's car, I was crushed to see $147.82.

Taxes! Social Security! Medicare! And what was this FICA thing?! It sounded evil.

My first lesson in how $200 earned is not $200 kept. FICA, it turned out, wasn't an evil villain—it was the government. They take a slice of every dollar we earn: first FICA for Social Security and Medicare, then federal, state, and even local taxes. By the time everyone's done taking their share, my $200 dream opened my eyes to a new reality - understanding where your money goes is the first step to growing it.

Because...

I fast forward a few years to college, when I was a cocktail waitress and made $200 in tips on my first shift! No one saw at the door collecting taxes, FICA, or Social Security, and I walked out with all my money, dollar for dollar.

While I had higher aspirations than a job where the dress code was spandex pants, spandex shorts or a skirt above the knee, that's where I learned my second big lesson - not all income is treated equally.

Some earnings are taxed before they even hit your paycheck (or your pocket), while others, like tips, commissions or side hustles come straight to you - at least at first.

This was my first glimpse into diversifying your income streams—and understanding that how you earn your money matters almost as much as how much you earn.