I am a big believer in allowance to teach children about money early on. I wish my parents had given us allowance in the way that I learned from a financial course that I took. I don’t know if you’ve ever heard of Dave Ramset’s Financial Peace but I find that he gives very sound financial advice. He suggests giving children allowance and teaching them how to save, give and spend responsibly.
Pay them for certain chores kind of like a wage, give them 3 envelopes… 1/3 goes into each envelope. When they want to purchase something they can only uses what has been allocated to spend…. Even if it means that they cannot afford what they really want, they must choose something they can afford… This is a lesson in not becoming laden with debt and understanding that you can’t have what you can’t afford. The other big one is the giving….
He argues that your child will understand the value of giving as well as the value of the dollar much more f they are giving their own money IEEE offering in church or a donation to a cause they wish to support. I am Now a believer and I think it teaches more responsibility to pay them for certain chores or a set amount a week. I do agree that they also need to understand what it means to be a part of a family and that they are responsible for a part of that as well but I think you can find balance by making certain chores payable and others responsibilities.