Although there aren’t always hard and fast allowance rules, the ideal time to start giving an allowance to your child is at the beginning of the school year. An allowance teaches discipline and responsibility, forcing kids to think about choices and consequences. It’s also a great tool for math, money management and saving for the future. When these skills are applied to children’s schoolwork, you may actually see improved grades, an increased desire to learn, and greater confidence.
What is the best age for starting an allowance?
You may have seen or heard a variety of answers to this question, including comments that most money experts agree that preschoolers are too young to have an allowance because they don’t fully understand the concept of money. Once kids are in school and begin learning about dollars and cents and buying and selling, they likely have a much better idea of what it means to spend money from their own stash versus having mom or dad pay. Because you know your child better than anyone else, however, you are best-qualified person to decide the age at which your son or daughter is ready to be paid.