Fifty-one percent of American parents surveyed give their children an allowance. If you are one of them, you are making a big mistake and you, likely, don’t even realize it. Beware because you are teaching your children entitlement!
Tools: Click here for Suze Orman's Four Top Financial Lessons to Teach Your Kids
Suze’s Allowance Ground Rules:
1. Establish nonpaying chores.
2. Never pay for good behavior or good grades.
3. Draw up a list of work-pay chores
4. Make payment a weekly ritual.
Video: Watch Suze explain to America the difference between allowance and work pay.
Money Lesson: By teaching your child to earn the money they receive you are teaching them to be money-wise. They are more likely to become money-wise adults and will respect their money more.