Earned allowance news

The age-old topic of earned allowance! Here are some news and updates related to earned allowance:

Recent Studies:

• A 2020 study by the National Endowment for Financial Education (NEFE) found that 62% of parents in the United States give their children an allowance, with the average monthly amount being around $40.
• A 2019 study by the Pew Research Center found that 71% of parents in the United States believe that giving children an allowance helps them learn about money management.

New Approaches to Earned Allowance:

• Some parents are adopting a "chore chart" system, where children earn a certain amount of money for completing specific tasks, such as cleaning their room or helping with laundry.
• Others are using apps, such as Allowance, to track and manage their children's earnings and expenses.
• Some families are also incorporating educational components, such as teaching children about budgeting and saving, into their earned allowance system.

Debates and Controversies:

• Some experts argue that giving children an allowance can create an entitlement mentality and lead to overspending.
• Others argue that earned allowance can help children develop important life skills, such as budgeting and financial responsibility.
• There is also debate about whether children should be paid for doing chores or whether it's better to teach them that helping out is a part of being a responsible member of the family.

Real-Life Examples:

• A family in California has implemented a unique earned allowance system, where children earn money for completing tasks, such as doing laundry or helping with meal prep. The money is then used to fund their own savings goals, such as buying a car or going to college.
• A single mother in New York has started a blog to share her experiences with earned allowance, including tips and strategies for implementing the system in her own household.

Resources:

• The National Endowment for Financial Education (NEFE) offers a range of resources and tips for parents on how to teach children about money management, including earned allowance.
• The American Academy of Pediatrics (AAP) has published guidelines on how to talk to children about money and earned allowance.
• The website NerdWallet has a range of articles and resources on earned allowance, including a calculator to help parents determine how much allowance to give their children.