Teaching your kids how to effectively manage and earn money
is one of the most important lessons your can teach your children as a parent.
There are a variety of tools that you can use to instill these qualities in
your child. According to Spendsmartcard.com,
giving your children an allowance on a daily, weekly, or even monthly basis is
particularly effective. If you've decided to give your kids an allowance, here
are five tips that you should keep in mind as a parent.
1. Make
Your Intentions Clear
If this is the first time you are developing a plan to give
your children an allowance, make sure your plan is extremely structured. This
will help your children know what to expect and prevent your children from
being able to work the system and get more money than they really need. When
you introduce your plan to your children, make it clear what types of things
the money from their allowance is for and what types of expenditures you will
still cover as their parent, like clothes or lunch money.
2.
Don’t Limit the Allowance to Household Chores
Many parents have their children earn their allowance by
performing certain household chores. However, you don’t have to limit the
allowance to only these duties. Instead, round out your approach by giving your
children their allowance for a culmination of chores, good grades, and proper
behavior at home and while they are away.
3. Be
Open to Negotiation
Some parents forgo giving their children any form of an
allowance because they state that their children are constantly begging them
for their allowance or to raise the amount that they get. Although you don’t
have to put up with begging, don’t feel like you can’t negotiate with your
children. Negotiating is a valuable skill that your children will use
throughout the rest of their life and these skills can be developed with the
use of their allowance. If your child feels like they should be getting more
for their allowance, encourage them to sit down with you and discuss the
reasons instead of allowing them to constantly bring up the subject of you
giving them more money.
4. Give
Money on Certain Conditions
You may find that giving your children completely free reign
to do as they please with their money is an ineffective strategy. To teach your
children the power of saving and giving, give your child their allowance on the
stipulation that they have to put a portion of the money in savings and donate
a certain amount to the charity or organization of their choice. Whatever money they have left over can be put
towards what they want to spend it on.
5. Don’t
Succumb to Pressure
The amount of allowance
that you give your children and how you give it to them should be based on your
family’s situation and preferences, and not your neighbor’s ideas or how much
your children’s friends get. Come up with a system and a plan that works best
for your family and ultimately allows your children to learn valuable money
management, savings, and giving skills that will help them as they grow older.
I gave allowance and it was based on chores. I felt she learned if you want something you earn it. She also got money for other things like A's etc. I think sme parents feel pressured and give wy too much.
ReplyDeletethis is great and to think my 5 yr old is already learning the concept of money so im thinking an allowence is in his near future!!
ReplyDeleteThese are helpful tips. I especially like the idea of being open to negotiation--because circumstances might change, and there is no need to be unnecessarily stubborn.
ReplyDeleteThese are great tips to follow, it will help!
ReplyDeleteGreat advice! We pretty much do this with my 6 year old, and it's been working well for her. It works best for my family to have very clear guidelines on how money is "earned".
ReplyDeleteexcellent ideas--we have always put conditions on the spending of the allowance-- --three little piggy banks--church--wants--gifts...what they buy has to be inconsideration, extra over the allowance it self for more money means more responsiblities, than the usual. Thanks for your tips
ReplyDeleteVery good advice. I love #3. My daughter is very good at negotiating fairly and not getting upset if she doesn't get exactly what she wants. I really love to nurture that trait in her.
ReplyDeletegood tips - i like the giving money with stipulations, especially giving a portion to charity. i think its important for children to learn early on that there are people in need and that we should donate money if we can and time if we cant.
ReplyDeleteI did this with my children when they grew up and now I am glad to say that they are doing it with there kids now they are more responsible with money and life
ReplyDeleteI did this with my kids and good to know they do it wit there's get for teaching them responsibly
ReplyDeleteGreat ideas! I haven't started giving my daughter an allowance. She is nine, but she does earn things usually every other week, such as a new toy or a special snack for helping out around the house and good behavior.
ReplyDeleteI really needed to hear these tips. I have been trying to figure a way to give my son allowance but have him earn it. Thanks for sharing!!
ReplyDeletegreat advice! my son is only 2 but i'm definitely bookmarking this for future reference!
ReplyDelete(5 Tips for Parents that Want to Give their Children an Allowance) These are all some really good idea's, children have to learn early in life the value of money and that they should help around the house to earn an allowance.
ReplyDeleteI just found your blog via a contest link, but I'll be back for sure. Nice blog!
ReplyDeleteRe. allowances. I'm an old mom and now a live-in caretaker and homeschooling gramma for two little boys. Through the years we've tried several allowance-giving methods, and my end belief is that several ways will work well, it all depends on the individual child and their parents.
Great advice!
ReplyDeleteGreat tips...I think a child should get an allowance but not for the heck of it...I think depending on the childs age there should be certain expectations for earning an allowance. Thanks
ReplyDeleteHappy Holidays!
I really like the point about the child using money under certain conditions. I've seen a lot of kids who just spend their money on candy. There are a lot more fun creative things they could be spending their money on.
ReplyDeletereally good advice i give my kids allowances every week this helps them know the meaning of money and will help them as they get older also
ReplyDeleteThanks for these tips. I need to start this soon!
ReplyDelete