How do you structure pay and incentives for high school employees in a small business?

I’d start by figuring out what “productive” actually means in your business. For example, if a high school employee costs $18/hour after taxes, workers comp, and overhead, what tasks can they take off your plate that create more than $18/hour in value?

Once that’s clear, I’d build incentives around the outcomes that matter most—productivity, quality, attendance, safety, etc. The bigger challenge is usually creating a clear path for them to become productive quickly. Most high school students can contribute, but they often need more structure, coaching, and feedback than experienced employees.

I’d be curious what type of work they’d be doing. The answer probably looks different for mowing lawns than it does for painting, cleaning, or construction.

Looking at your website, it seems like you have year-round products, not just seasonal sales. I would consider a base wage plus commission. If you train the right high-schoolers in sales, some may become long-term employees who already know your products and customers.

Managing labor costs with high schoolers is a balancing act, but completely doable. Drawing from my background managing teams, heavy machinery, and production budgets

Relying entirely on a high hourly wage often backfires because there’s no urgency. Guarantee a fair base hourly rate, but tie their real earning potential to output bonuses (e.g., an extra dollar amount per cord split, or per premium bundle wrapped for your grocery accounts). If they hustle, they make great money, and your profit margins stay.

​Teenagers need black-and-white expectations. Don't just tell them to "work hard." Give them a daily target, like stacking a specific number of pallets or wrapping a set number of bundles per shift. Just make the bonus contingent on quality control so they don't do a sloppy job.

​If you hire a few kids who are friends, peer pressure can work in your favor. Set a collective monthly production goal. If the crew hits it without safety issues or client complaints, reward them with a team bonus. They’ll naturally keep each other off their phones and focused on the job.  Give them a fair floor to stand on, and let their own hustle dictate their take-home pay. It protects your cash flow and weeds out the slackers fast.