6-13 years old

The temperament of the child will dictate what he or she can do in relation to money.  Since you pay your child only if he works, you need a tracking system.  Try using a dry-erase board placed on the front of the refrigerator to list the chores and how much will be paid for each one.  At this age we suggest $5 per week for five chores: simple things like clearing dishes, feeding the dog, keeping the room clean.  These are things you would expect anyway, but paying a commission for them gives you teachable moments about money and work.  Some chores should be done with no pay because you are part of the family, but if they are all done that way, there are no teachable money moments.  Little Jack doesn’t “feel the pain” of the movie ticket if the sweat of his brow isn’t associated with money.  Once the work is done have a pay day.  At this age, pay day should be once a week.  

Whatever their age, it’s never too late to start teaching kids how money works.  We need to love our children enough to lead them well.  We’re not always going to be perfect, but we should always look for an opportunity to teach them.  

Dave Ramsey is America’s trusted voice on money and business. More than 1.5 million families have attended Financial Peace University in more than 30,000 churches nationwide. He’s authored four New York Times best-selling books: Financial Peace, More Than Enough, The Total Money Makeover and EntreLeadership. The Dave Ramsey Show is heard by more than 5 million listeners each week on more than 500 radio stations. Follow Ramsey on Twitter and on the web at daveramsey.com.

Publication date: December 31, 2012