Giving Your Kids Allowance

It is important to teach our kids the importance of money and how it should be spent. When they are young they can take the toys and clothes that they have for granted and do not understand just how hard we work for it. When they start asking for everything and pouting because we don’t give it to them than we know that it is time to introduce an allowance.

How Much?

The allowance is a great way for them to earn small amounts of money by doing chores around the house. Before you introduce the concept to them you have to decide how much you wish to give them. Just like in life, it is best to start off with a small amount. That way every year you can give them a ‘raise’.

Maybe you can give them $0.25 to $0.50 per chore that they do or give them $1.00 or $2.00 a week. It isn’t much – but your child should be around 6 or 7 when you start. To them this will feel like a lot.

Chores

Make sure that they do enough chores throughout the week otherwise they will not understand the lesson you are trying to show them. Create a chore list for them to do everyday. Make sure that it is something that they can actually do. For smaller kids you could have them unload the dishwasher, fold clothes, put clothes away, and dust.

Every now and than you can give them an incentive to make more money. Give them a bigger job to do that they wouldn’t otherwise do and pay them double for it. Make sure they know when the chores have to be done and the consequences if they don’t get it done.

Talk It Over

Now that you have all of the ground rules taken care of you can talk about it with your child. Tell them what money is and how you have to earn it each week. Explain to them that they have to do their part around the home so that they can buy toys or clothes for themselves. You can even have them save the money in their piggy bank.