Times Are Tough – So What’s Your Kid Earn?
To hear Dave Ramsey and other financial experts tell it, one of the most important things you can do is to teach your kids about money management and for many of us that starts with the allowance. Has the national economic downturn hit the kids in the piggy bank? Not according to a survey by Nickelodeon. The kids TV network found these weekly rates.
6 – 8 years old: $ 4.80
9 – 11 years old: $ 7.00
12 - 17 years old: $16.60
Janet Bodnar, author of “Dollars & Sense for Kids,” says allowance for children under the age of 6 is not necessary. Most don’t really start learning about money until 1st grade. Unless your kid is named Katelyn Autumn Ettl in which case she already recognizes the various coins and is working on comparative values at age 3. Daddy’s little economist or Daddy’s little extreme shopper!
Bodnar says allowance helps them learn how to appreciate and manage it. As a general rule, giving them half of their age in dollars per week is an easy system for you both to understand.