Allowance... or Not?

Avatar for cmkristy
iVillage Member
Registered: 07-05-2005
Allowance... or Not?
Tue, 08-06-2013 - 12:41pm

School may be out, but never fear -- there are plenty of teachable moments to be had when it comes to kids' financial literacy. 

There are lawns to be mowed and summer jobs to be had – but parents also can go a long way toward helping children learn about money with a simple tool: the allowance. 

"From my point of view, allowances should be required. You want kids to get comfortable with money," said Nathan Dungan, president of Share Save Spend, an organization aiming to help people develop healthy financial habits.. "It gives a really critical structure and kind of intentional marking point that a child develops to get them comfortable with money."

Dungan suggests starting an allowance when a child is just five or six, increasing the amount each year. "It's a great opportunity to delve into it, transfer some responsibility and work on things like deferred gratification," he said.

How giving your child an allowance can pay off-

Where do you stand on the issue? Should children receive an allowance? 

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iVillage Member
Registered: 04-08-2008
Wed, 08-14-2013 - 2:11am
I think having an allowance was great for me. I really learned about limits, choices and the benefits of saving. Dee