A simple question that can turn into a spirited debate.

On one hand, it feels like a great way to teach them about the value of money and hard work. On the other, shouldn’t they be helping out just because they're part of the family?

The Case for Pocket Money

First off, let's talk about the pros:

1. Learning the Value of Money: When kids earn their pocket money, they start to understand that money doesn't just magically appear (if only!). They learn to associate effort with reward, which is an important life lesson.
2. Financial Responsibility: Giving kids their own money to manage helps them learn about saving, budgeting, and even the joy of spending. They might save up for that new toy they've been eyeing or blow it all on junk food. Either way, they're learning.
3. Motivation: Sometimes kids need a little extra push to get things done. Knowing they’ll get some pocket money can be a great motivator to help out around the house without turning it into a battleground.

The Case Against Pocket Money

Let’s look at the other side of the coin (pun totally intended).

1. Family Contribution: There’s a strong argument that kids should help out just because they’re part of the family. The idea is that chores are part of their responsibility as members of the household, not a paid gig.
2. Entitlement Issues: If kids get used to being paid for every little thing they do, they might start expecting rewards for all their actions.
3. Intrinsic Motivation: We want our kids to develop a sense of pride and accomplishment in doing things well for their own sake, not just for a reward. They should feel good about helping out, not just because there’s money involved.

Finding the Middle Ground

So, what’s the verdict? I don’t think there’s no one-size-fits-all answer - it often depends on your family’s values and what you want to teach your kids.

Ideas to strike a balance:

• Set Clear Expectations: Define which chores are just part of being a family member and which ones can earn them some pocket money. Maybe tidying their room is expected, but washing the car earns a little extra.
• Mix It Up: Combine the two approaches. Have certain basic chores that are mandatory and unpaid, and offer extra tasks for pocket money. This way, they learn both family responsibility and the value of earning.
• Teach Budgeting: Whether they earn pocket money from chores or get a regular allowance, use it as an opportunity to teach them about saving, spending, and even giving. You can use programs like Kids Get Money to help ensure this education is comprehensive. Match their savings, talk about their spending choices, and encourage them to donate a portion to a cause they care about.

In the end, whether you decide to pay your kids for chores or not, the goal is to raise financially savvy humans. 

Kids Get Money helps parents and schools provide kids with comprehensive financial literacy education with our fun, curriculum aligned, online lessons. 

Find out more here.