A woman displays money in a wallet. Pocket money provides a hands-on learning experience in managing money, teaching children about the value of spending, saving, and making choices based on their budget. PHOTO/MICHAEL KAKUMIRIZI
As I walked out of my house the other day, I found myself caught up in a conversation between a mother and her daughter that left me pondering many questions.
The little girl, fresh from her first term's school break, was eager to know why her mother had not given her pocket money for the holidays, just like she does during school days.
The mother explained that she had stocked up on snacks, implying that the daughter would not need extra cash.
However, the young one was not convinced. "But mom, you give us pocket money even when we eat at school," she reminded her mother.
This exchange sparked a debate in my mind. Is it necessary for parents to give pocket money during holidays? What changes when children are at home versus school?
Parents’ perceptions
Some parents believe providing pocket money during holidays helps children develop essential life skills like budgeting and financial responsibility. It allows them to make choices and prioritise spending, just like they do during school days. Children learn to distinguish between wants and needs, and may become more thoughtful about spending.
"I give my children pocket money during holidays because it teaches them how to budget and make smart financial decisions," says Sarah Buyinza, a parent of two. "It is also a way for them to learn independence and responsibility."
On the other hand, some parents argue that holidays are a time for relaxation and family bonding, and that pocket money can create unnecessary expectations. They might prefer to provide experiences or activities instead of cash.
John Bosco Musinguzi, a businessman operating in Kikuubo Central Business Centre, says: "I don't give my kids pocket money during holidays."
Musinguzi, a father of three, thinks that instead, together with the mother, they plan activities and outings as a family.
“This way, they learn to appreciate the value of time spent together rather than focusing on material things," Musinguzi shares.
Expert insights
According to Newton Buteraba, chief executive officer of House of Wealth, the decision for parents to give pocket money during holidays depends on how they want to raise their kids.
“In my view, as kids grow, they need to develop a work ethic that is not solely motivated by money,” Buteraba shares.
Ideally, when someone's work ethic is only driven by money, they tend to do only what is expected for the pay.
So, if parents create a culture of paying for chores at home, it can lead to controversy.
Consider the endless tasks at home - mopping, cleaning the bathroom, washing clothes, ironing, doing dishes, washing the car, cleaning the veranda, stairs, dusting, polishing shoes, and feeding the dog.
A good parent should focus on instilling a strong work ethic without relying on monetary motivation.
Personal experience
While sharing his experience, Butereba says: "When I was a child, I spent holidays at my uncle's place. Every morning, I would wake up and remove dog’s poop from the compound. I would also wash his car without expecting payment.
After executing these chores, Buteraba shares that he would take pride in making his uncle’s car spotless, and his appreciation meant more to him than money.
“I would also enjoy doing dishes after meals, not being a good cook myself, he recalls.
This work ethic helped Buteraba later in life, especially during a period when he studied abroad in the United Kingdom.
Since he was living with Indian housemates, he would do the dishes after they cooked, and they would appreciate it. If he had not developed this work ethic, he might have waited for payment. Buteraba echoes that the principle of diligence and responsibility can be applied to personal development and work ethic.
Working culture
Buteraba suggests that parents should instill a culture of working without expecting pay at home.
“This helps children to grow with a strong work ethic, taking it to the workplace to do more than what is expected without seeking extra pay,” he notes.
Instead of paying for chores, parents can fund extracurricular activities or outings, separating them from the work done at home.
He says: “Pocket money can be for school, but at home, focus on developing a strong work ethic without monetary motivation. Fund expenses for social activities or outings, but don't attach them to chores. This way, kids learn to work diligently without expecting payment”.
Experts say as parents navigate the complexities of pocket money during holidays, one thing is clear: open communication and setting expectations are key. By teaching children valuable financial skills, we can empower them to make smart choices and develop healthy relationships with money.
Whether children should get pocket money during holidays is a nuanced question and depends on several factors, including age, family values, and financial education goals.
