The kids get an allowance. They get a dollar every Friday, if they've completed their chores throughout the week. The kids are learning how much things cost and get frustrated that they never have enough money to buy anything that they want. Soooo I decided to start teachging them about loans, debt and repayment plans.
So when we had to go get diapers I let them bring all their money and I explained to them before hand about how I was going to loan them the money and that it was not their money it was mine and they'd have to pay me back. I told them I'd only loan them $5 (which as you can see ended up to be a bit more, but Wyatt had so much more money then everyone else, very mysteriously might I add so I was trying to even it out) and they would pay the rest. At the register we made three separate transactions so they could bring their receipt home and make a chart. Which we did below. Now they know that every time they get paid on Friday 50% of that goes back to me. They are already talking about the next time they buy something they are going to "save up a LOT of money and not use yours, so then I can keep all my money on Fridays!!, "yeah cause now we only get a little money, and not a dollar and that stinks!"
They are however, happy to color in some of their graph as they pay back their debt.
They also have the choice to pay me back every week. If they choose not to, the "bank" aka ME takes away their purchase for good. Something I think worth knowing sooner rather than later in life.
Earning their wages.
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