Many parents often debate whether allowance should be earned by doing chores, or should just be given.
Roy Paul, executive director of Cents Ability, agrees that kids should earn money through work, but should receive cash to be able to see their money in their hands. “We really want young people to turn into responsible adults to understand the concept of hard work and what they should get in return because those trickle down into fundamental beliefs about the workplace and to work hard for money,” Paul says.
However, Jean Chatzky, financial editor of the NBC’s Today Show, has a viewpoint that is more in the middle of these two ideologies and favors giving kids cash. She believes kids should not be paid for doing chores because she says they are tasks that should just get done without a monetary incentive. Instead, kids should be given money to buy things that parents no longer want to pay for, which will teach kids how to save and budget within reason. “You shouldn’t give them so much that they can buy as much as they want,” Chatzky says.
As with all things when it comes to raising kids, ultimately it is up to you whether your child receives allowance, for what, and how. Where do you stand on this debate?