Many parents give their children an allowance- but when you ask the child why they receive one, they often don’t know! Parents who want to instill a good sense of character in their kids know that in order for a child to learn real responsibility, allowances are not given- they’re earned!

Here are some tips for setting up an allowance:

Sit down with your child to discuss and draw up a list of things they can do around the house to earn money. The younger the child, the easier the task. Some parents disallow common household chores such as making beds or taking out trash since these are the chores that will be continued all throughout life- and be continued without pay. Doing this encourages your child to look for more ways to be helpful around the house. It teaches them to be observant of their environment and notice when and where they can be useful. Even more, it gives them a sense of belonging to their family unit and that their actions have worth.

Instead of having a preset amount every week, let the work determine what will be paid. Expect less effort from the child who knows they will be paid $10 at the end of the week regardless of how well they do (or don’t do). Be fair and remember your child, whether older or younger, is still a child and has less experience than you. Your definition of ‘mop the floor’ may be ‘clean enough to eat off of’, while their definition of ‘mop the floor’ is ‘a couple passes with a mop and throwing a rug over that petrified spot of grape jelly’. Show them what you expect to be done and be clear on what you will and won’t accept. Sometimes a kid will never get the hang of a certain chore. It may be something they’re just not good at. If that is the case, find a different job for your child. Keep the work light and interesting for them. You’re not out to punish, you’re teaching responsibility!

Don’t you just love it when you wake up on Saturday to find your children looking at you wide-eyed and adoringly? That’s because they know you have their allowance money! Whatever day you pick as payday- stick to it. As your child becomes a teenager, a good way to teach him or her to budget is to move payday to once every two weeks. A child who learns to budget their money early in life has less problems later on compared to friends who have mom and dad footing their bills. When the day comes that your teenager decides he or she needs more cash flow than an allowance will pay, explore the option of a part time job.

There are wise parents who read, play games and sing to their very young children in hopes of giving them a head start in school. It doesn’t have to stop there. Just the same, parents who help their children learn the concept of earning money for work also put their kids ahead of the game- in life.

Author Bio: Bruno is a web entrepreneur and social media marketing consultant working for the Norwegian dog community website Hundefeber.no. He also owns a lovely Pomeranian and a Mops dog.

Category: Finances
Keywords: Finance,allowance,money,family