The pocket money guide
The best way to get kids saving
I view pocket money as a learning tool. As such, my children do not have to do 'chores' to receive pocket money, (although they do participate in chores as being part of our family).
You can't learn to drive, play an instrument or sport without having the equipment to learn, and money is no different.
At five, my boys received half their age in pocket money. Their $2.50 was then divided into share, save and spend. At five that meant 50c to donate, $1 to save and $1 to share.
Delayed gratification started right back at that tender age. Back then they had to save for two whole weeks before they could go to the $2 shop to spend their money. They also had to make choices about their $1. Would they spend it on that moving car ride outside Pak 'n' Save, a kiddies icecream at the lake or that $1 movie on Cheap Tuesdays.
Now my twin boys are 11 years old, and they receive $5.50 a week. The learning is the same, just with bigger items (last year they bought cameras each, and recently an ipod).
After many requests from friends for help around pocket money, I have just published a book called "The Pocket Money Guide - everything a parent needs to know".
It is my hope that parents will give their kids pocket money so that they can learn this vital skill. This way, they are more likely to not have to give their kids economic outpatient care when they are older.
Let's face it, prevention is better than cure!
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