5 Questions Answered About Your Child's Allowance
The sooner your kids can stick to a budget the sooner you can stop playing ATM every time they walk out the door.
If you're a parent, you've wrestled with the allowance beast. How much should we give? What age should we start? What expenses should it cover? These issues are worth tackling as early as you can. Kids learn valuable life skills from making money decisions, starting as soon as they can identify coins and count change.
There's something in it for you too as a parent, beyond serving up mere lessons in personal finance. The sooner your kids can stick to a budget the sooner you can stop playing ATM every time they walk out the door. This is especially irksome in the teen years, when their list of "needs" grows exponentially and includes things you'd rather not know about-like underwear from Victoria's Secret and dozens of on-demand viewings of Jackass: The Movie.
In my column for the April issue of Money, now on newsstands, I explore some ideas for dealing with teens and allowance. I've got three of my own. So it's a subject close to my heart. But in reporting that piece I heard lots of wisdom from family financial advisers on setting allowance from the pre-school years through college.
CLICK HERE FOR THE ANSWERS TO FIVE BASIC ALLOWANCE QUESTIONS.
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.
Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
Daily Recap Newsletter