How to Talk Allowance with Your Kids

3.Be open to negotiations.

Similarly, you should allow your child to take on extra duties to earn some bonus bucks (especially as the child gets older). Van Petten explains that when she was younger she earned $10 for completing her chores each week, but could wash the family cars for some extra cash. “On weeks that I was trying to save up for concert tickets, I would wash both cars,” she explains.

4.Be consistent.

Regardless of the amount you choose or the system your family elects to put in place, the key, Simunovic maintains, is to be consistent. “Spending habits form early and run deep,” he says. “Giving a little bit of allowance consistently over time will teach your child how to save.” 

What have children spent their allowance on in the past? Check out this MainStreet round up of ten toy fads that have faded.

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