Many dads I talked to offered some tips for making allowances work better.
Pay consistently weekly. The amounts are easier to manage on a weekly basis for both parents and children. And paying allowances regularly and consistently helped children learn the importance of keeping commitments.
Have a spending journal. Helping your children keep track of what they spend of their allowance and other funds gives them an opportunity to see where their money has gone when a day of reckoning comes and they don't have enough to get something they want. It is a good teaching tool.
Don't manage their spending. Part of what you want to have happen is for your children to make some mistakes when the risks are small. So don't micromanage what they do with their allowance. Help them follow basic rules, but then step aside and let them learn from their mistakes and enjoy the consequences of their choices.
Don't use allowance to correct behavior. Withholding allowance for bad behavior in other areas or for bad grades sends the wrong message. Use good discipline tools for poor behavior; keeping the allowance out of that equation will help you focus on learning the value of money.
Make savings visible. Get a glass quart jar for the children's savings and put it in a visible place so they can see the amount grow. When the jar is full, take it to the bank and put it in a savings account. As your children see their savings grow, they will feel proud of themselves and their discipline.
As you work with your children to teach them the value of money and how money is responsibly used, you will find allowances among the best tools I know for giving them these skills. Keeping it simple, consistent and fair will make the allowance experience a good one for dads and children.
