The Working Woman magazine is already gone. Subscribe to BizSense now and get in on our 12-steps to the Invention process. Children think money grows on trees. People come to the door asking for money to support a charity and it magically appears from the bottom of your purse as if you were pulling a rabbit from a hat. It makes no sense to them then, that every time they ask for something they'd like from the store the answer is usually no.
Many parents think that giving an allowance is a good way to teach their children about money.
There are two schools of thought on this issue. One theory is that the child completes a few agreed upon tasks and receives a small payment at the end of the week. Then, if he sees something he'd like in a store, he would be told to save his allowance in order to purchase it. Others feel children should learn that in order for a family to reap the rewards, each member of the family should take part in the upkeep of the household. When there is a mess, clean it up.