We all want to teach our kids responsibility and how to manage their own money from a young age. One way to do that is to pay your children for the things they do around the house.
Many people give their kids an allowance – a set amount each week. But is this really the best way to teach your kids to be responsible? Some parents don’t think so. This is why they give their kids a commission.
Is one better than the other? Let’s take a closer look.
What’s the Difference?
An allowance is a set amount of money your children get each and every week. It doesn’t matter if they do their chores or not. This is the biggest problem with an allowance.
A commission, on the other hand, is paid to children when they do their chores. For example, washing dishes might be worth one-dollar. If your children only do half their chores, they only get paid for the chores they did. In other words, it teaches children that the harder they work, the more reward they’ll receive.
Is One Better Than the Other?
What do you want your children to learn? Do you want your children to do chores and get paid one amount? Do you want your children to get paid based on the work they did? Would one method work better based on the age of your child?
For example, smaller children who are just starting to learn about money would be content folding laundry for $1 a week. Preteens, on the other hand, aren’t going to be content with a small amount. However, they may also be tempted to do a poor job because they are getting paid regardless. This is when you should definitely be using the commission system.
The honest truth is some parents are beginning to ask why they’re giving their kids an allowance, especially if their kids don’t do chores. Aren’t you just giving your kids money just because?
If you’re beginning to question the sanity of this, you may want to consider giving your kids a commission. This teaches your kids that if they do chores, they’ll get paid and teaches your children work ethic.
If your kids want something, they’ll need to work for it. The younger you can teach your children the importance of hard work, the better. Best of all, you may find that many of the chores you hate doing are already done because your kids really want to make some extra money.
What about you? Do you give your kids an allowance or pay a commission based on the chores completed each week?