The idea of offering pocket money to children, especially teenagers, has been going on since ages. Many parents wonder whether or not it will be beneficial to provide pocket money to their kids and how much is the right amount. Are you also puzzled whether you should give your child pocket money? If your answer is yes, then we have some reasons as to why it makes sense to give your teen pocket money even today!
Different parents have different opinions regarding pocket money. But if done correctly, pocket money can prove to be a good thing for your teen.
Here are some advantages of giving pocket money:
1. Independent feeling
Teenagers are ‘mini adults’, so considering them grown up, in this case, will make them feel independent. In addition, this will teach them to manage their own money. Generally, most teenagers love the opportunity of managing their finances independently and do learn to handle their money wisely.
2. Value for money
A lot of teenagers these days do not realize the value of money, as their parents buy almost everything for them. By offering monthly pocket money, they would have to purchase items on their own. This will encourage them to buy their desired items by themselves, the preparation of which will give them a real-life experience, thereby making them aware that things do not come for free. Hence, they will value money.
3. Learn from mistakes
In the beginning, your teen might get overwhelmed by the money and spend it all right away. If the money is over in a week, then he/she will have to stay broke until it is time for the next payment.
4. Saving skills
Educate your teenagers to save a fraction of their pocket money each time and put it away for future or emergency use. If this is done each month, then by the end of the year, they will have a lump sum of money on hand, which they can use to treat themselves.
It is vital for you to understand the consequences of giving pocket money to your teenagers. No matter how well your teen manages the money, it is crucial for you to track and intervene when needed. How much to give??? and from when to start?? Only you as a parent know the answer. Finally, it is important that the money is not just given away but is earned. Ask other parents their opinion and how much they offer and lastly be consistent as you are the one they learn from.
Written By- Dr Rahul Varma