We’ve listened to both the pros and cons regarding paying children to do chores, and we understand the arguments on both sides. However, after carefully weighing these points, we firmly believe that paying children to do chores has distinct advantages. What are these advantages?
Paying Children to Do Chores: Advantages
We wouldn’t hesitate to pay children to do chores. Money is a delicate subject, and the best time to teach smart money management is when children are young. There’s no better time to teach important lessons, instill good habits, and reinforce behaviors than when the mind is still fresh and receptive to guidance.
Money is just one of many concepts that can be taught and learned early in life. As Richard Kiyosaki mentions in his book Rich Dad Poor Dad, a child who starts with a sound financial education will likely manage money well as an adult, unless, of course, they face circumstances beyond their control (such as illness or a serious family problem).
What Reasons Do We Offer for Paying Children to Do Chores?
- Children learn that money has to be earned. It shouldn’t be viewed as a weekly handout they are entitled to. In our Psychology 101 class, we learned about intellectual and emotional triggers, and it’s crucial for children to understand the link between work and money. They should be able to think, “If I help with the dishes, I’ll earn $3.00; if I don’t help, I won’t get anything.” The work is the trigger, and money is the reward. To clarify, our stance is that money in children’s minds should never be seen as a standalone item. It should always be tied to something—work. The key lesson to impart is: no work, no money.
- A second benefit of paying children for chores is that it not only teaches them that they can earn money through work, but it also introduces the concept of saving or spending. Paying them to do chores creates an opportunity for valuable lessons about money. For example, a conversation could unfold between parent and child as follows:
Parent: Here’s the $3.00 I promised you for helping with the dishes. Great job. Thank you. So, what are you going to do with your $3.00?
Child: Hmm… maybe buy a video game.
Parent: A video game costs more than $3.00. You can do one of three things: (a) earn more money by helping out more around the house until you have enough to buy a video game, (b) spend it on something else, or (c) save it.
Child: Save it? Why?
Parent: Because saving money is a good habit. You can do whatever you want with that $3.00; you’ve earned it, so it’s up to you. But if you save it, you’ll be surprised at how much it adds up by Christmas. For example, if you start saving $3.00 every week beginning January 1, you’ll have $156.00 by December.
Your child may be too young to understand savings accounts, interest rates, or the compounding effect of interest, but at least you’re planting a seed in their mind that $3.00 can grow into a larger amount if they don’t spend it right away.
Paying Children to Do Chores: Three More Good Reasons
- Money is an effective incentive. Even though the saying “money is the root of all evil” has gained traction, it remains the number one motivator. Consider how companies reward their employees for excellent performance. Look at how hefty the bonus checks are for salespeople who meet or exceed their quotas. Selling earns them a commission. So, we don’t see why household chores—such as cleaning the yard, mopping the garage floor, or dusting furniture—shouldn’t also translate into a financial reward for children.
- Stimulating the entrepreneurial spirit in kids. Another benefit of rewarding children for doing chores or getting good grades in school is that it opens the door for them to learn how money can be used to make more money. You can teach them to save, but you can also teach them to think like entrepreneurs. For instance, you can suggest they buy lemons with their money and sell lemonade (isn’t that every North American kid’s dream?). Or they could buy baseball or hockey cards and sell them for a profit. Another possibility: they could buy secondhand equipment for lawn care and offer to clean neighbors’ lawns in exchange for payment.
- Awakening the most important sense in kids. Being born with all five senses is something to be thankful for, but there’s also a sixth sense we should nurture in our children—and it has nothing to do with ghosts. We’re talking about their sense of charity. By teaching kids to think about those who are poor or sick, we stimulate their sense of philanthropy, which can stay with them throughout their lives.
Chore-Based Pay or an Allowance?
We’ve read several articles debating whether children should receive money based on the chores they do or if it should be given as a separate allowance. The argument for linking money to chores is that they are family responsibilities, so children should pitch in and do their part.
True, chores should be shared among family members. However, when doing chores takes up a child’s time and prevents them from hanging out with friends or interferes with homework, they may eventually develop resentment. By paying them for the chore, at least they have something to look forward to, even if the chore itself isn’t pleasant.
If we extend this argument to the corporate world, it’s the employee’s responsibility to perform their job because they receive a salary. But when that salary comes with a bonus, the employee feels appreciated and is motivated to go beyond the call of duty when needed.