4 comments
CaptainAction
CaptainAction

Great ideas shared here. When we vacationed as kids, my dad would give us a little vacation money to add to our money which we had saved for our purchases. We would see toy junk at gas stations on the way and dad would remind us that if we bought something this early, that our money would be gone when we saw something better.

This taught us to shop around and not spend money without careful thought and consideration.

We also new that my dad stuck to the rules and that this money we had was it.

Our parents also explained the taxes to us as well and that it's part of the purchase and must be considered first.

We have tried to teach our kids these things and even how my wife and I budget for the trips. They understand that we have the entire vacation saved up in cash before we take a trip. They understand that we run the hotels, etc through credit cards to get airline miles but that we pay the bills with the cash we saved up prior to even planning the trip.

I think most vacations, our kids, like my brothers and sisters growing up, always come home with some of their own money and seem to almost never spend all their budget.

HelenB
HelenB

Keep in mind the issue of sales taxes as well. For younger children, the parent should cover the sales taxes. For slightly older children, the parent should cover the sales taxes, but also make it clear to the child that more money has to be handed over for the purchase. This leads to a natural civics lesson of what taxes are for and why we have to pay them. Once children have absorbed this lesson, then it is okay to give them more money to 'cover the taxes' or remind them to bring more (for the same reason.


You don't want to have a small child budgeting everything out, and carefully adding up purchase prices, only to be torpedoed by the sales tax.

JamieFl
JamieFl

Jennifer,

Great idea!  I will start a deposit, debit system for my kids with chores etc.  If I have to ask or YELL to get something done, then it's a debit.  If it is done without any fuss or muss, then it is a deposit.  The account will max out at $100.00.  We will then buy $100.00 Universal Gift cards and that will be their spending money for the week.  I love it.

Regards,

Jamie

JenniferW
JenniferW

The gift cards would definitely make it easier. I guess I'm an old-fashioned parent, though. I prefer making my kids have to actually hand over their cash to make a purchase. I think the kids will more carefully consider if it's worth their money if they have to give up real money. But that's just a parenting preference of mine. I can definitely see where the gift cards would make it easier and faster, without the kids having to count out their money (or risk losing it). Thanks for the feedback!