Gone are the days of going down to the local convenience store to buy a piece of hard candy with your well-earned dime. Now, kids could purchase 500 pieces of hard candy, because they are rolling in the dough when it comes to allowance. [More]
Allowance is an excellent tool to teach kids about money while cutting your own expenses. The idea is you’ll make them save up for their own stuff, which will keep you from spending as much money on them. The problem is sometimes allowance ends up being a crutch that continues well into adulthood and only teaches grown “kids” to rely on their parents for income.
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As soon as your child begins to express a sincere interest in material wants (as in, “I want that!”), it’s time for an allowance. Depending upon the child, that’s probably around the ages of 3 to 5.