Washing the dishes is one way children earn pocket money. Stock image/Getty
Almost half of parents give their children pocket money, with a new survey finding digital wallets are overtaking traditional cash.
The average age for a child to begin receiving an allowance is nine, with almost nine out of 10 parents believing children should earn the pocket money through chores.
The survey, from the Teachers’ Union of Ireland Credit Union (TUICU), also found that the traditional method of giving pocket money through cash and coins is in decline.
Fewer than half of parents said they give their child an allowance in notes, while 29pc said they pay pocket money in coins.
Only 19pc of parents said they lodged the money in a credit union account for their child.
Nearly 60pc said they also use a digital wallet such as Revolut to give their child pocket money.
More than 800 parents nationwide were asked about their attitude to allowances and their preferred methods and reasons for giving it to their children.
Two-thirds of parents who give their child an allowance do so on an ad hoc basis, with the amount and timing varying throughout the week or month.
There is a strong belief among parents that money should be earned rather than simply given
One-third said they give their child the same amount on the same day each week or month.
“There is a strong belief among parents that money should be earned rather than simply given – and for good reason,” said TUICU chief executive Paul Roche.
“By linking pocket money to household chores, such as cleaning their room, washing the dishes or doing the laundry, parents often help their children understand the connection between work and reward. It also encourages them to think about how they spend and save what they earn.”
Mr Roche said the growing popularity of digital wallets is a “fascinating” change in trend from the traditional allowance of “a 50p coin once every couple of weeks”.
“Digital apps are a convenient way for parents to give pocket money as the amount arrives in their children’s accounts instantly,” he added.
“They are also traceable, allowing parents to monitor how their children spend their money. Although it’s not for everyone, digital wallets offer an opportunity for parents to teach financial management in a way that is relevant to how children interact with technology today.”
