You have to teach your children to connect their "earning power" and "buying power" to the concept of time. How much time will it take for them to earn enough money to buy those trendy boots they want?
There's a new twist on allowance that has emerged over the past few years: Instead of handing kids a few dollars each week, parents -- and kids! -- can simply visit one of many websites, just as adults manage their own banking online.
Giving allowance is an American tradition that picked up steam before the start of the 20th century. As there was more stuff for youngsters to buy, child-rearing experts started to tout allowance as a way to instill good spending habits.
Any parent in their right mind wants to avoid watching their kids struggle through life with money troubles. Studies show that children with savings accounts have less stress and more hope for the future.