Tips for Parents: Allowance Can Teach Money Management
MANHATTAN, Kan. – Parents who wrestle with the idea of whether or not children should have an allowance from household finances are encouraged to consider the value of discretionary money as a financial management tool.
“Children who have a small allowance – money they can use as they wish – will typically make saving and spending mistakes and learn from them,” said Carol Young, K-State Research and Extension financial management specialist.
Making money management mistakes at a young age (and with limited funds) allows children to practice and build on their financial decision-making skills and grow into managing larger funds responsibly as they grow into teen years and young adulthood, Young said.
More information about family financial management is available at K-State Research and Extension offices in each of Kansas’ 105 counties, K-State's Financial Management or Kansas Saves.
K-State Research and Extension is a short name for the Kansas State University Agricultural Experiment Station and Cooperative Extension Service, a program designed to generate and distribute useful knowledge for the well-being of Kansans. Supported by county, state, federal and private funds, the program has county Extension offices, experiment fields, area Extension offices and regional research centers statewide. Its headquarters is on the K-State campus, Manhattan.
Story by: Nancy Petersonnancyp@ksu.eduK-State Research & Extension News
Carol Young is at 785-532-5773