How to: manage your kids' summer spending
As the summer holidays kick off, how can parents help children budget their spending money?
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.Summer is here and the weather finally seems to agree. Across the country school kids are kicking back, ready for the long break and parents are working out how to afford it.
Many kids will hope for some spending money of their own and education experts suggest that this is the perfect opportunity to get your children set up with money management skills, which could put them in good stead for life. And with average weekly pocket money now at £6.55 a week, according to the Halifax Pocket Money Survey, the highest level in 9 years, there are more than a few pennies to play with.
Meanwhile, parents worried about safety have more options than ever to help their children spend. Here are some of the most helpful innovations for managing kids’ cash.
goHenry
Made in collaboration with Visa, goHenry is a prepaid card and app that gives parents control over what their children spend; while also allowing the child all the freedom of a debit card, although they can’t overspend and get into debt.
It costs parents £2.49 per month, but it allows them to choose where cash is spent – they can veto online spending or cash machines if they choose to, providing an additional layer of safety. Parents can also set a daily maximum spend to help their offspring budget effectively.
Osper
Mobile banking service Osper also offers debit cards for kids aged 8-18, which is licensed by MasterCard, and has an app that helps them understand and manage their spending. As with goHenry, parents can track the spending, allowing them to discuss choices with their child.
It costs £18 per card per year, which is £1.50 a month, and it allows friends and family to load the card with money too, making birthdays easier.
Rooster Bank
Parents and guardians of children aged 4 and up could make use of the free Rooster Bank money tracker app. Children can record their savings and the household chores they carry out to earn money. It’s available for iOS, Android or via Kindle Fire.
Although parents don’t store money in the app, which simply records what children receive and what they spend, it does allow them to ‘pause’ payment or debit the balance if their child wants to buy something or has their pocket money docked. It also allows families to set savings goals and helps them visualise how close they are getting.
Children can separate their spending money and even receive bank statements.
Use some cash
Technology is brilliant but it is important for children to learn about actual coins and notes. Loretta Jones, a primary school teacher from Warrington, explains: “We get a lot of children now who simply don’t see coins regularly because their parents use their card for everything. That means they can’t identify coins quickly, which puts them at a real disadvantage.”
Handing out small amounts of actual coins and teaching youngsters to keep it safe, ideally in a zipped pocket or purse, is also an important step on their path to financial literacy.
Download a guide to junior ISA's with Independent Partner, Hargreaves Lansdown
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments