Negotiating pocket money:

• Decide how much you can afford on a regular basis.
• Agree with your child what they are allowed to spend it on
• Do not purchase the things you have agreed their pocket money should cover.
• Agree a regular increase - annually on their birthday is a good idea.
• You should renegotiate what pocket money will cover each year.

As a starting point look at an amount that will buy a small treat e.g. packet of sweets, pencil, stickers etc.

For older children sit down with them and ask them to suggest an amount based on research they have done on the price of those things which are to be included in the pocket money/allowance remit. This is a good exercise for them to do as they begin to see how to spread their money out.

Remember it is important that they learn how to save so the money has to be spread out over the course of the year!

Check out the current average amount on the Internet:

In 2001 the average was:

• £1.38 for 5-7 year olds
• £2.16 for 8-10 year olds
• £3.74 for 11-13 year olds
• £5.66 for 14-16 year olds

A suggestion for starting pocket money is 25p. Give this in a variety of change to encourage talking about money.

How much?
What for?
When do you start giving pocket money?
Extra tips for parents
10 tips for money education
Teaching money skills

Pocket Money ideas for these age groups...