Everybody has an opinion on allowances. Your mom may tell you that they are great motivation to get your kids to do their chores. Your grandpa might tell you allowances spoil children. With so many opposing opinions on allowances, how is a parent to make the choice for their child. Will it help or hurt them? How much time will it cost you? Is it worth the trouble? Allowances, like everything else, have their benefits and downsides. In this article, we will be sharing both sides to help you decide if giving your kid an allowance will work for your family.
Let’s start with the benefits of giving your child an allowance. Once your child enters the adult world, they will be bombarded with transactions, budgets, and money-making decisions that each have their own consequences. Allowances present your child an excellent opportunity to master their own money before the consequences of money mistakes become too serious.
An allowance allows your child to earn their own money, giving them knowledge about the value of money. Your child will feel more wary about spending their hard-earned dollars than they would if the money were just given to them! However you decide to run your allowance game, your child will learn valuable lessons, like budgeting and spending their money mindfully.
While an allowance can be extremely beneficial to your children, it can certainly have it’s downsides, as well. Creating a system for doling out allowances takes time, effort, and well, money. Some families just don’t have the capacity for this. If you can’t stretch your time, effort, or money to give your children an allowance, it isn’t a problem! Allowances aren’t the only opportunity you have to teach your child to become a money master! You can also teach your little one to become financial genius’ by simply talking to them about your own money-decisions, telling them stories of your money successes and failures, and giving them the opportunity to partake in fun money mastering activities, like this one on our website!