As I listen to the news and try to make sense of the enormity of our national deficit, it is daunting. I can’t quite grasp what a trillion dollar really means! But back to reality and in regards to money, how do we help our children keep on track with this aspect of their lives? Let’s go for a simple start -- and talk about their allowances.
In the pediatric literature, there is lots of advice and guidelines regarding allowance. Should it be tied into chores… should a parent monitor how it is spent… how much is too much… when should it start? After years of pediatric practice and three children, I’ve seen that there is no one right way. However, there are definitely some helpful guidelines, which I will include here:
- Allowance should start at around 5 years of age and should be modest, depending on the family’s financial situation.
- It should be given independently of chores. This is not to say that chores for young children are elective. By no means! All children should have chores to do commensurate with their age. But they should also receive an allowance.
- Allowance should be given weekly, preferably on the same day
- Give your child some basic guidelines about the allowance:
- One third should be saved.
- One third given to a preferred charity.
- One third to be spent on something of the child’s choice.
Obviously as a parent you have to monitor this but from afar. Allow your child to buy candy or other kid stuff -- even if you feel it’s not quite the wisest decision. This is all part of the learning process.
While I am not sure I completely understand the nation’s trillions of dollars in deficits, I do understand that saving for a rainy day is good advice. At times it seems like there is a thunderstorm out there, but our home should be a safe place where children have a sense of security, abundance, and hope for the future.
Wishing you healthy chats with your children,
Dr. Chrystal de Freitas
