Kerryn Boogaard Kerryn Boogaard
Beverly Goldsmith Beverly Goldsmith
Zoe Bingley-Pullin Zoe Bingley-Pullin

Cash for chores a winner:

Survey shows that cash for chores helps children understand money.
By Motherpedia
Date: May 27 2013
Editor Rating:
pocketmoney

The value of pocket money in exchange for completed chores has been highlighted in a new study.

The Westpac Kids and Money Report surveyed 1,000 parents and children aged between four and 18. It found 45% of children who earned money through chores or a part-time job, and used technology to track their finances, had a good understanding of the value of money. Only 18% of children who don’t do either had a good understanding of the value of money.

77% of children completed household chores - spending an average of 2.4 hours a week on tasks. Cleaning their bedrooms, looking after pets, doing the dishes, taking out the rubbish and general house cleaning were the most common chores.  

Two in three parents of 4-18 year olds surveyed believe children should receive money based on the completion of a number of chores (61%).

Westpac general manager of retail banking Gai McGrath said “Learning the basics of saving from an early age is important. But we also know that kids today earn and save their money in a dramatically different way than previous generations.

“Our research suggests that technology can have an impact on instilling strong financial habits from a young age. This is important as we know that the earlier children develop good financial habits, the more financially savvy they will be in the long run.” 

Westpac’s Top Pocket Money Tips for Parents

Plan: Be clear about the chores you want to set and make sure your kids are happy with them. Also think about how they can enrich your kids’lives (both through their monetary value, and their ability to set goals and achieve them).

Accountability: Make sure your children are held accountable for their pocket money and how much they are saving. When they show improvement, reward them accordingly.

Be consistent: Don't be tempted to frequently change the reward amounts or the chores as it will create a system that your kids will view as "unfair".

Be disciplined: If you start by saying they have to pay for items like comic books and then end up buying them one, they’ll quickly learn they don't have to do chores in order to reap the rewards.

Self-monitoring: Encourage your kids to monitor and manage their own savings. Developing these habits from an early age will ensure they are carried through to later in life.

Set meaningful goals: Ensure that the goals mean something to your child and they are more likely to achieve it and not dip into the savings.

Be realistic: Set goals that can actually be achieved by your child so they can appreciate the sense of achievement.

Westpac has developed a new app, Pay Pig, which earning and learning about money, fun, rewarding and easy, which can be downloaded at the Apple iTunes store

Share This Tweet This Email To Friend
Recent Comments
0 Total Comments
Post a Comment
* your email address will not appear

Please enter the word you see in the image below:


Post a Comment
* your email address will not appear

Please enter the word you see in the image below:33343


Your Comment has been posted
Related Articles
pocket_money_economy
The pocket money economy is estimated at $1.4 billion, which…
Read more
girl_with_money
Show your children good money and financial habits to help…
Read more
girl_with_money
A new MoneySmart teaching package developed by ASIC will be…
Read more
Shipping-containers-freight-wallpaper-preview

Latest Tech Used In Shipping Containers
Read how the shipping industry has revolutionised

Motherpedia cover-2

Win 1 set of a 4-book hardcover illustrated boxed set
Barbara Murray’s new 4-book Sound Stories is perfect for parents and educators and could assist with NAPLAN results

Motherpedia cover (4)

Where to celebrate Oktoberfest Australia
Get ready for this celebration!

Vtech giveaway motherpedia

Win 1 of 3 VTech Toys Pack Giveaway
Playtime is so much more with VTech

Motherpedia cover-4

A Fortnight of Foodie Experiences at East Village
A taste of East Village. What's in it for me?

Globber my too fix up cover

We Try: Globber My TOO Fix Up
A scooter that grows with your child

Throw a winning cricket pitch

3 Steps to a Winning Backyard Cricket Pitch
Ex-Adelaide Oval legend curator Les Burdett shares his tips for getting your backyard cricket pitch test match ready this summer

A bike that follows your kids life cycle - motherpedia - cover

A Bike That Follows Your Kids Life Cycle
Check out the Bunzi 2-in-1 gradual balance bike!

Moonlight lifestyle

Moonlight Cinema to bring…
Moonlight Cinema announces brand new Western Sydney venue

Screen shot 2019-11-26 at 8.29.12 am

Your Magical Christmas Wonderland…
Adventure park is about to light up the night sky with its "Christmas Festival of Lights"

Screen shot 2019-11-21 at 11.11.36 am

The Preston Market Gets…
It's time to feel pumped up for the holiday season!

Bruno-kelzer-zqzuigxcvrq-unsplash

Bunnings team members get…
Help raise funds by buying a snag or donating at your local store.