When it comes to giving your kids an allowance, there’s always confusion among parents: How much is the right amount? When do I start giving them an allowance? If I give too much, what if my kid turns into a brat? Well, studies suggest that the sooner you start teaching your kids about money, the better.
Many researchers suggest starting their allowance when they first lose their teeth. After all, who doesn’t remember the amazement of finding money below the pillow left by the tooth fairy? So instead of having them break their teeth to get more money, start giving them their allowance.
As far as the amount is concerned, start small. For instance, give them 50 rupees a week. You can even make them earn money for doing household chores. But because you need to teach them the importance of money, ensure that the task they do is worth the amount you pay.
At the same time, you need to teach them the importance of money.
These are the three things that you should teach them about money:
- Savings – thus, they’ll learn about patience and good investments.
- Spending – that way, they’ll learn money management.
- Giving – Thus, they’ll learn about benevolence, humility, modesty, gratitude, and the importance of helping.
As your child grows up and takes on more responsibilities, you should also ensure that you gradually increase their allowance.