![\"Allowance](\"https:\/\/myfirstnestegg.com\/wp-content\/uploads\/Allowance-Stats-pdf.jpg\" "\\"Allowance")
<\/figure>\n\n\n\nSource: PR Newswire<\/a><\/p>\n\n\n If you are looking for some guidance on how to combine allowance and chores, you have come to the right place. <\/p>\n\n\n\n Many parents struggle with how to deal with which chores should trigger an allowance and which ones just meet basic good citizen requirements. <\/p>\n\n\n\n There are two schools of thought that go something like this. <\/p>\n\n\n\n And of course, like most things in life, most of us fall somewhere in between. <\/p>\n\n\n The short answer is that yes, you should pay your child to do chores. <\/p>\n\n\n\n Financial habits are set by age 7<\/a>. <\/p>\n\n\n\n Teaching your kids the cause and effect of effort = value is an important early life lesson. The amount of allowance and the number of chores are completely negotiable, but it\u2019s hard to go wrong rewarding your child for behaviors that will make them successful later in life. <\/p>\n\n\n\n Children see mom or dad or both going off to work every day. Their astute little minds can process that this takes some level of sacrifice and that their parents aren\u2019t doing it for free. Kids can\u2019t go off to earn money, so the way to replicate this lesson in the home is to pay them an allowance for doing chores. <\/p>\n\n\n\n Parents can reward their children with a specific amount of money for, age-appropriate chores starting as young as 5 years old. <\/p>\n\n\n\n Suggested Allowance by Age Per Week:<\/strong><\/p>\n\n\n\n Want help motivating your kids to do their? Download the award-winning App that motivates kids to help around the house, do their homework, and brush their teeth!<\/p>\n\n\n This question comes up over and over again and it can seem difficult to answer; family financial circumstances can vary tremendously and what works for one family might not be feasible for another. However, how much allowance to give kids for doing chores isn\u2019t as difficult as it might seem. The answer lies in figuring out how much allowance kids need to buy the special treats and rewards that kids want to buy with their own money. <\/p>\n\n\n\n The key to the chore to allowance ratio is allowing them to earn what they want in a way that is reasonable and developmentally appropriate.<\/p>\n\n\n There is so much chatter right now about \u201cinfluencers.\u201d The truth is that influencers have been around for decades.<\/p>\n\n\n\n Whether it was the most popular kid at school, a famous athlete who only wore Under Armour, or an actress who swore she maintained her youthful good looks with Oil of Olay. Influencers aren\u2019t a new phenomenon. <\/p>\n\n\n\n What is often overlooked in the influencer discussion is the role parents play as the first influencers of their child\u2019s behavior. <\/p>\n\n\n\n As a parent, it is your distinct pleasure to be the single most important person in your child\u2019s life all throughout early childhood. Giving your child chores and allowance is a key way you can be an early personal finance influencer for your child. <\/p>\n\n\n\n Children look up to parents and see that parents do chores (oh so. many. chores.). They also see that parents earn money which allows the family to thrive. <\/p>\n\n\n\n Kids want to be like their parents – it\u2019s why they raid our closets and repeat things that should not be repeated. Giving kids chores and allowance is an excellent way to capitalize on that outsized influence to teach early childhood financial lessons about work and pay. <\/p>\n\n\n Not all chore and allowance systems are created equal. In my early childhood, <\/a>I would have friends who talked constantly about their allowances. I never got an \u201callowance\u201d in the way these kids would talk about it. <\/p>\n\n\n\n They simply got money for existing!<\/p>\n\n\n\n Every week they received basically a kid paycheck for living and breathing. <\/p>\n\n\n\n Meanwhile, I had a list of chores I had to complete if I wanted a penny. It didn\u2019t seem remotely fair and I asked my parents about it one day. <\/p>\n\n\n\n I can still remember the looks on their faces as I explained that my friends were getting paid to be kids and that I would like the same treatment. In fact, there were six kids in my family, and we should probably all get paid to shoot hoops and ride our bikes.<\/p>\n\n\n\n <\/p>\n\n\n\n After my parents recovered from their dual shock at the existence of such a system, and their friends who had apparently instituted it, they explained in very clear and concise terms why no such chore and allowance system would exist in our home. \u201cBecause we said so.\u201d <\/p>\n\n\n\n As much as I would like to say that explanation lacked clarity, the truth is that even in my youthful mind I understood. I watched my parental influencers work hard day in and day out to put food on the table and shoes on my feet. Even 10-year-old me understood that you don\u2019t get paid for doing nothing. <\/p>\n\n\n What my wayward friends were describing was Unconditional Allowance.<\/strong><\/p>\n\n\n\n This is a sum of money they received weekly or monthly without condition. <\/p>\n\n\n\n It may seem like a great deal in childhood, but this is a recipe for disaster in adulthood. <\/p>\n\n\n\n If there is one complaint we hear over and over again from parents, it\u2019s that kids seem to be getting more and more entitled. If you would like to nip this in the bud, take our advice and never, ever pay your child for doing nothing.<\/p>\n\n\n\n This sets them up for failure later in life when they discover that their teachers expect them to earn their grades, their peers expect them to earn their respect, and that their bosses expect them to earn their paycheck. <\/p>\n\n\n\n In addition, this is not healthy for your child\u2019s mental wellness. Dr. Jennifer Gatt,<\/a> a respected Child Psychologist at Southwest Neuropsychology Services in Phoenix, AZ, has spent decades working in schools and with families. One of the key points she emphasizes is that achievement and depression are inversely related. <\/p>\n\n\n\n She encourages parents to give their children opportunities to be self-reliant as pathways to better mental health. Giving children allowance, without using the opportunity to encourage chores and achievement, is a wasted opportunity to enhance your child\u2019s pride in accomplishment and mental stability.<\/p>\n\n\n Unstructured unconditional allowance<\/strong> is similar to its structured cousin, and certainly no better. <\/p>\n\n\n\n This is the type of allowance given by parents when a child wants something and the parent just forks over the money. <\/p>\n\n\n\n The parent might tell themselves that it\u2019s better than a structured paycheck for doing nothing, but in reality, it reinforces the same lessons. <\/p>\n\n\n\n Unless you want to continue to be your child\u2019s Moneytree, which grows without water or nutrients, we suggest nipping this in the bud. <\/p>\n\n\n\n According to Forbes, 79% of parents are providing financial support to their adult children<\/a>. <\/p>\n\n\n\n Parents who allow their children to see them as an unending source of free money set their family up to join the ranks of parents who are supporting their adult children to the tune of $500 billion dollars annually. <\/p>\n\n\n\n This is twice what parents are putting away for their own retirement. Before you open your wallet to pay for your child\u2019s wants without basing that payment on chores, think twice about what message this is sending and how that will impact your family\u2019s future. <\/p>\n\n\n Now that we have dealt with the nonsense of paying for nothing, let\u2019s move onto the two types of allowance systems where children earn money for doing chores. <\/p>\n\n\n\n The first is akin to a salaried employee<\/strong> – your child receives their allowance on a set schedule and you have a set of expectations they need to meet to earn this allowance. <\/p>\n\n\n\n This is an earned allowance<\/strong> so inherently it is better than an unearned allowance. <\/p>\n\n\n\n There are some significant drawbacks to this system that make it more appropriate for older children. <\/p>\n\n\n\n The most glaring problem is one every parent surmised the second they saw the heading: kids struggle to meet ambiguous expectations. <\/p>\n\n\n\n As such, this system might work really well for high school-aged children who have been raised with an earned allowance system, and understand parental expectations. <\/p>\n\n\n\n The best example would be a 17-year-old whose responsibilities include maintaining a clean living space, doing their own dishes and laundry, driving their siblings to school and activities, and earning good grades. <\/p>\n\n\n\n This child could very easily be paid a regular sum to accomplish these reasonable teenage chores. <\/p>\n\n\n\n It would be important for parents to conduct periodic reviews to ensure that expectations are met, and that the allowance is truly being earned. <\/p>\n\n\n\n In order to get a child to a point where this type of allowance would work, parents would have needed to start with the most fundamental and commonsense allowance system available to them: the Earned Chore Based Allowance.<\/p>\n\n\n\n Related Article<\/strong>: 10 Great Reasons Why Students Should Get Paid for Good Grades<\/a><\/em><\/p>\n\n\n An easy way to think of this system is the hourly employee allowance and chore method. <\/p>\n\n\n\n This is hands down, by far, unequivocally, the best way to dole out money to your children<\/strong>. <\/p>\n\n\n\n There are two reasons this is the best allowance system: <\/p>\n\n\n 1. It is better for their mental health<\/strong> and it is better for their financial education. <\/strong> Every parent who has ever seen a toddler beam with happiness and pride after putting away their toys knows this to be true. Kids are born pleasers (don\u2019t ask me what happens to make this instinct ebb and flow throughout later adolescent years). They want to make you happy. They want to make everyone happy. <\/p>\n\n It is simple psychology 101 to make sure that the healthy behaviors that also make them happy are the ones that will help grow them into successful adults. If you want to raise mentally healthy children, give them as many ways as possible to achieve and feel good about themselves. <\/p>\n\n 2. The second reason this is a superior chore and allowance system is that it reinforces good financial literacy values.<\/strong> <\/p>\n\n If you give children a very specific list of what they need to do, how they need to do it, and what their reward will be, you will also be giving them an early preview of life outside of the cocoon of their loving home. <\/p>\n\n Simply put, if your child understands what they need to do, how to do it well, and the compensation structure, then they will waltz into a classroom or office with a significant headstart over their unconditional allowance peers. <\/p>\n\n We have compiled this handy chore and allowance list with age-appropriate chores and rewards for children. It is by no means exhaustive and is meant for general use. <\/p>\n\n\n\n Every child is different and you know your child best. This is a simple baseline we\u2019ve compiled as an easy-to-use guide. <\/p>\n\n\n\n Add to it, subtract from it, but it is a helpful baseline of chores that our experts believe could and should be done by kids of this age.<\/p>\n\n\n It is a good idea to reward kids with allowance after they have done a certain number of chores. In the sections below we break down an appropriate number of chores children can do before they should receive their allowance. <\/p>\n\n\n\n This is critical for ingraining an early and lasting ability to delay gratification, a hallmark of financially successful individuals. It will also save you from them asking for money or prizes after every chore, which is unsustainable.<\/p>\n\n\n Children in this age group are just starting to form habits, many of which will stay with them for life. This is the best age to reinforce the fundamentals of self-care and healthy behavior.<\/p>\n\n\n Dr. Jennifer Gatt recommends the following chores for these little learners. <\/p>\n\n\n\n In the My First Nest Egg App, we have all of these chores pre-populated in the Preschool Expert Puzzle entitled \u201cHooray for You!\u201d<\/p>\n\n\n These little ones are in the prime of their imitation stage. They are easier to influence than many older children and want so badly to make their parents happy. <\/p>\n\n\n\n When it comes to allowance, we recommend rewards and prizes instead of money<\/strong>. Money is too lofty of a concept to grasp for most kids in this age group. <\/p>\n\n\n\n When they\u2019re closer to 5 they might enjoy playing with it, engaging in pretend play where they exchange it, and imitating what they see their parents doing with it. <\/p>\n\n\n\n But when it comes to rewards, this age needs more tangible gratification. For the children closer to 3, sometimes just some virtual confetti, an excited congratulations and a little happy dance are all the reward they need. <\/p>\n\n\n\n For children closer developmentally to 5, we recommend small treats and toys they have asked for. M&M\u2019s, Kinder Eggs, matchbox cars, little dolls, and bath toys all make excellent rewards. <\/p>\n\n\n In the My First Nest Egg App, we track rewards with puzzles. Kids are assigned puzzles. The pictures can either be generic or parents can input something the child is trying to earn. <\/p>\n\n\n\n For this age group, we recommend importing a picture of whatever your child is trying to earn, or using the pre-populated picture if they are just earning for the confetti and high fives. <\/p>\n\n\n\n For this age group, the expert-recommended puzzle is four pieces. <\/p>\n\n\n\n This is a developmentally appropriate number of pieces that they can work towards the goal without becoming discouraged (or forgetful) before they get there. <\/p>\n\n\n 5-6 year old is such a fun age for kids. Their little minds are working overtime to absorb every morsel of knowledge surrounding them, and they are incorporating that knowledge into their day-to-day activities. They are just starting kindergarten and learning to read and do math. <\/p>\n\n\n The chores Dr. Gatt recommends include all of the preschool chores and adds additional ones now that they are a little more capable. Here is what she suggests. <\/p>\n\n\n\n In the My First Nest Egg App we have all of these chores pre-populated in the Emerging Expert Puzzle entitled \u201cYou\u2019re a Superstar!\u201d<\/p>\n\n\n This age group is still a little young to be rewarded with allowance money for chores, but they\u2019re on the cusp. The reward will depend largely on how mature your child is. <\/p>\n\n\n\n Many parents report that their six-year-olds are very, very excited to earn coins or a dollar and are excited to take their earnings for a spin at a dollar store or the candy aisle. If that is the case, we recommend paying them $1-2 for a group of chores. <\/p>\n\n\n\n Kids this age have simple wants, so pay them enough that they can either buy something small or earn an allowance 2-3 times in order to earn what they want. <\/p>\n\n\n Kids ages 5-7 have a slightly longer attention span, so Dr. Gatt recommends a grouping of 6 chores before earning their allowance or reward. <\/p>\n\n\n This age group spans 2nd – 3rd grade, which are years kids start to really learn to be responsible. <\/p>\n\n\n\n The chores for this age group continue to build on the younger chores, but the quality should be considerably better. <\/p>\n\n\n\n Developing a love of reading is crucial at this juncture, so you might choose to encourage that skill by counting every chapter as a completed chore. <\/p>\n\n\n\n Beds should be much neater, with pillows neatly stacked and sheets tucked. Everything they do should be done with a little more care and examined with a slightly more critical eye. <\/p>\n\n\n Dr. Gatt recommends the following chores for your 6-8-year-olds.<\/p>\n\n\n\n In the My First Nest Egg App, we have all of these chores pre-populated in the Primary School Expert Puzzle entitled \u201cYou\u2019re the Best!\u201d<\/p>\n\n\n This is a great age to lean into teaching your kids about money as a reward for effort. Since the number of tasks they\u2019re completing is increasing, as is the quality, so should the monetary reward. We recommend $2-3 dollars per chore grouping. <\/p>\n\n\n Attention spans continue to expand. These 6-8-year-olds can do a ten-piece puzzle before earning their allowance for the completed tasks. <\/p>\n\n\n Eight to ten-year-olds are getting to be really capable little humans. They should be actual household helpers, instead of just making sure they are taking care of their own responsibilities and self-care.<\/p>\n\n\n Now doing laundry is less about just putting away, and more about doing some of the actual folding of the clothes.<\/p>\n\n\n\n Their rooms should not be considered \u201cclean\u201d unless all of their toys and clothes are organized and folded. <\/p>\n\n\n\n Dishes can include loading and unloading the dishwasher. Many ten-year-olds can be tasked with helping a parent by entertaining their siblings while a parent is home and engaged in work. <\/p>\n\n\n\n The chores Dr. Gatt recommends for these ages are as follows. <\/p>\n\n\n\n In the My First Nest Egg App, we have all of these chores pre-populated in the Upper Primary School Expert Puzzle entitled \u201cYou Rock!\u201d<\/p>\n\n\n Kids in this age group are becoming increasingly influenced by their peers. Their friends will have things – so many things – that they will \u201cneeeeed.\u201d We have found that these kids will frequently work for a dollar amount (we recommend $3-5 per puzzle) or a prize. <\/p>\n\n\n\n Due to peer influence, children often want specific versions of things they actually need. Designer kicks, graphic T\u2019s, logoed backpacks, and colorful water bottles, can all be powerful motivators. <\/p>\n\n\n We have increased the number of chores for these kids before the allowance is doled out to 12. This is very doable in 2-3 days. <\/p>\n\n\n Once your child reaches middle school hopefully they will be getting good at being helpful household heroes. You might notice that each age group builds on the one before, but many of the tasks stay the same. You may certainly choose not to reward a \u201cchore\u201d whose completion has simply become so much a part of their routine that they don\u2019t need external motivation. <\/p>\n\n\n\n However, some 12-year-olds still need to be nagged to brush their teeth, and the consequences for not doing so with adult teeth under braces can be serious. It is all a matter of knowing your child and what they need extra motivation to accomplish. <\/p>\n\n\n Dr. Gatt encourages these chores for middle schoolers. <\/p>\n\n\n\n In the My First Nest Egg App, we have all of these chores pre-populated in the Middle School Expert Puzzle entitled \u201cYou\u2019re a Winner!\u201d<\/p>\n\n\n Once your child reaches fourth to seventh grade, they should be highly motivated little people. Like the previous age group, they want things and should be willing to earn money to buy them. <\/p>\n\n\n\n We recommend $5-6 per chore grouping for this age. That amount of money adds up quickly and they can buy the things they want, and understand that they have to work to get what they want. <\/p>\n\n\n Attention spans continue to expand. These 10-12-year-olds can do a twelve-piece puzzle before earning their allowance for the completed tasks. <\/p>\n\n\n Once kids are old enough to earn a monetary allowance, they should spend, save and give it according to a budget. <\/p>\n\n\n\n They can also set goals for earning enough money to buy something more expensive and track their progress.<\/p>\n\n\n\n It\u2019s crucial for kids to establish budgeting habits early so that it becomes habitual and they carry the ability to set and follow a budget into their adult years. <\/p>\n\n\n\nTable of Contents<\/h2>\n
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Guidance for Allowance and Chores<\/h2>\n\n\n
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Should I Pay My Child to Do Chores<\/h2>\n\n\n
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How Much Should I Pay My Children for Chores?<\/h2>\n\n\n
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Who Should Be Teaching Kids About Personal Finance?<\/h2>\n\n\n
What Are the Different Types of Allowance and Which Type Is Best?<\/h2>\n\n\n
Structured Unconditional Allowance<\/h3>\n\n\n
Unstructured Unconditional Allowance<\/h3>\n\n\n
Earned Salaried Allowance<\/h3>\n\n\n
Earned Chore-Based Allowance<\/h3>\n\n\n
As discussed above, children need to achieve and feel pride in their accomplishments. Chores and rewards are an easy way to give children the opportunities they need to engage in behaviors that lead to feelings of achievement. <\/p>\n\nAge Appropriate Chores and Allowance Breakdown<\/h2>\n\n\n
How to Pay Allowance<\/h3>\n\n\n
Chores and Allowance for Children 3-5 Years Old<\/h3>\n\n\n
Suggested Chores: <\/h4>\n\n\n
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Suggested Rewards: <\/h4>\n\n\n
How Many Chores Equal a Reward: <\/h4>\n\n\n
Chores and Allowance for Children 5-6 Years Old<\/h3>\n\n\n
![\"My](\"https:\/\/myfirstnestegg.com\/wp-content\/uploads\/MyFirstNestEgg-6-piece-puzzles-small-473x1024.jpg\" "\\"MyFirstNestEgg-6-piece-puzzles-small\\"")
Suggested Chores: <\/h4>\n\n\n
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Suggested Rewards: <\/h4>\n\n\n
How Many Chores Equal a Reward: <\/h4>\n\n\n
Chores and Allowance for Children 6-8 Years Old<\/h3>\n\n\n
Suggested Chores:<\/h4>\n\n\n
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Suggested Rewards: <\/h4>\n\n\n
How Many Chores Equal a Reward: <\/h4>\n\n\n
Chores and Allowance for Children 8-10 Years Old<\/h3>\n\n\n
![\"My](\"https:\/\/myfirstnestegg.com\/wp-content\/uploads\/My-First-Nest-Egg-10-Piece-Chore-Puzzle.jpg\" "\\"My-First-Nest-Egg-10-Piece-Chore-Puzzle\\"")
Suggested Chores: <\/h4>\n\n\n
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Suggested Rewards: <\/h4>\n\n\n
How Many Chores Equal a Reward: <\/h4>\n\n\n
Chores and Allowance for Children 10-12 Years Old<\/h3>\n\n\n
Suggested Chores: <\/h4>\n\n\n
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Suggested Rewards: <\/h4>\n\n\n
How Many Chores Equal a Reward: <\/h4>\n\n\n
What Should Kids do with their Allowance Money?<\/h4>\n\n\n
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