Pocket money

[ditzzy]

I’m sure this has been done to death int he past but we need to start thinking about giving pocket money to the DDs. The eldest is 8 (year 4), youngest 4.

I don’t think either would spend money on anything other than fidgets and sweets (even though they don’t actually eat sweets often) but I realise they need to learn how to handle money sensibly.

The eldest has some money from the tooth fairy and from birthdays which she guards in a purse and they don’t know about the junior ISAs that their grandparents contribute to.

Do people use cards like NatWests Rooster or still use actual cash?

Should I start pocket money for both at the same time (at different levels) or make the little one wait until her ninth birthday (if we start the eldest getting it on her birthday in a couple of months time)?

I really have no idea how to handle this! I was always very sensible with my pocket money when I was little, I’m not sure how that happened and want to encourage them to be sensible too.

Starling is a free go Henry type card. It's really good.

I waited until they both turned 11 and could have their own (free) bank accounts. Then they got £20pm to learn budgeting. I didn't agree with paying for a debit card service tbh. Nationwide is good as the current account gives 2% interest.

In the meantime I'd pay for them.

Ds had the free starling card, now he's 11 he has a current account and a savings account with Halifax. He's really good with it and loves saving, he's asked for his pocket money to go into his savings and he just moves some to his current account to keep a bit in there just in case. He rarely buys sweets and stuff like they with it, he's still working through his easter eggs.
He prefers saving then treats himself now and then to big purchases.
We include him in conversations about money, explain interest rates etc to him so he's fairly clued up.

My parents gave us each a little pocket book diary and wrote +1 to the balance every weekend, and we could "withdraw" whenever we wanted.

I didn't. I was saving for a car. I think my parents were a bit worried when I started getting close to the £175 for an old banger in the village, because they had kept saying that I could save towards anything I really wanted...

We started when DD was 5, cash in hand, £1/week. That was 12 years ago so it may not be enough nowadays.

We had a Rooster account when she was 9 but she still preferred to see the actual money in her money box/purse.

She has a Nationwide account since she is 11 now and also does online shopping and uses the app to see her balance.

Oh, we don't link money to chores, we see pocketmoney as an educational tool and chores are done by the family, noone is getting paid.
She may get some extra in Summer for valeting the car or helping with larger garden projects like painting the fence though.

One pound for each year of their life is what I did so at 8 they'd get £8. I gave cash but most of it was saved. My DS used to buy an ice cream then save the rest in piggy bank. Every so often I'd take him to the bank and we'd take his piggy money to be put into his bank account.

I do cash as it’s more visual. They’re not allowed to buy sweets with pocket money. I also don’t link chores to money, we’re a team in the house and everyone pulls their weight. No one pays me to clean my oen house.

Thanks!

Thats a nice variety of thoughts from everyone. I quite like the idea of a pocket book to note things.

I’d forgotten my parents did that at one point when we were teenagers and wanted to start buying our own clothes, we had to check the clothing allowance book first.

Dd11 has an HSBC account with debit card. Dd8 has a hyperjar prepaid account with debit card (also free). It's great as can save money into different jars on the app.

They each get £1 more than their school year per week. So dd11 gets £7 a week and dd8 gets £4 a week. I transfer the money at the weekend once they've tidied their rooms. If they don't tidy them by Sunday evening they forfeit that week's pocket money.