How to Give Your Child an Allowance

By eHow Parenting Editor

Rate: (7 Ratings)

Giving your child an allowance will help him or her develop a sense of responsibility and experience handling money.

Instructions

Difficulty: Moderately Easy

Things You’ll Need:

  • Piggy Banks
  • Bank Account
  • Bulletin Boards
  • Dry Erase Boards
  • Dry Erase Markers

Step1
Decide how much money you would like to pay your child as an allowance. When you first begin to pay an allowance, the amount is not as important as the lessons it teaches.
Step2
Determine whether your child will be required to do certain jobs around the house to earn the money. Base the tasks on the child's abilities.
Step3
Assign several weekly or monthly tasks and write them on a chart on the refrigerator, where they can be marked off when completed.
Step4
Have clear rules as to when the work must be completed and when the money will be paid.
Step5
Choose a pay period. You could pay the child weekly, twice a month or even monthly.
Step6
Discuss the plan with your child. Explain that the money will belong to him or her in exchange for doing the assigned jobs. Discuss where your child will keep the money and talk about how it should be spent or saved. Some parents like to have their children give a portion of the money to charity.
Step7
Spend some time helping your child understand how to sort and count money.
Step8
Help your child make purchases so that he or she understands how to pay for an item.
Step9
Monitor your child's use of the money so that inappropriate purchases are not made.
Step10
Open a bank account for your child. Many banks offer children's savings accounts for no fee. Teach your child how to deposit and withdraw money and how to balance the account.

Tips & Warnings

  • Buy "The Allowance Game," a board game that helps children understand how to sort and count money as well as manage their funds. Play it with your child.
  • Some parents pay small amounts such as $1 a week. Others pay substantially more, such as $10 a week. Choose an amount based on your budget and how much money you would like your child to be in control of.

Comments

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Anonymous

Anonymous said

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on 8/8/2006 As I kid, I didn't get an allowance for doing set chores. I learned that jobs just don't get thrown at you, and that you actually have to work to find one. When I was younger, I had lemonade stands. As I got older, I babysat, did yard work, and kept score for my churches student basketball and volleyball games. I went out and looked for these jobs; my parents didn't order me to do them.

Anonymous

Anonymous said

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on 3/2/2006 A lot of kids do not like to have to deal with the rigorous schedule that usually comes with chore charts. Instead, try a commission based system; when they do a chore, they get payed. It doesn't have to be a chore that they have to do every day, week or month.

Anonymous

Anonymous said

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on 3/2/2006 With my son (age 5), he gets $3 a week. $1 to spend, $1 to save and $1 for the church. It is working really well for him, and then he doesn't feel like he can't have any of it.

Anonymous

Anonymous said

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on 2/28/2006 Before elementary school: $.25 or $.50 a week.
During elementary school: One dollar per grade level (i.e. grade 2 - $2, grade 5 - $5) a week
After elementary school: $10-$20 a week (If they complain during high school, help them look for a part time job).

Anonymous

Anonymous said

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on 2/28/2006 Always make sure to give your child the money without them having to remind you.

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eHow Article:  How to Give Your Child an Allowance

eHow Parenting Editor

eHow Parenting Editor

Category: Parenting

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