We believe the value of money is a vital thing to be imbibed in your child, starting from a very young age. Understanding about the same can be taught by giving an allowance in a maintained frequency for household chores which your kids are supposed to do; it gives them financial independence & more importantly financial responsibility & via budgeting the same accountability can also be developed.
A couple of Points from:-
- Always tie allowance with purchase responsibility.
- Never tie it with grades.
- Your kids birthday is an ideal time for their appraisal & even changing a couple of purchase responsibility.
- Allowance should not be just handed over to them; proper budgeting of expense needs to be discussed well. Importance of savings for specific big spending in the future needs to be explained.