The Importance of Pocket Money for Children
Pocket Money, also known as allowance, is a small amount of money that parents give to their children on a regular basis. This money is meant to help children learn how to manage and budget their own finances, and instill a sense of responsibility and independence in them. While some parents choose not to give their children Pocket Money, it can be a valuable tool in teaching children about the value of money and how to make responsible financial decisions.
Money Pocket and the Monthly Allowance
Ravi and Sanjeev, both aged 12, are brothers living in a middle-class household. They receive Pocket Money from their parents on a monthly basis. However, the amount of Pocket Money they receive differs greatly, as their parents follow a ratio system to determine how much each of their sons receive. For every $10 that Ravi gets, Sanjeev receives $7. This may seem unfair to Sanjeev, but their parents have a valid reason for this ratio.
The Ratio: Teaching Fairness and Responsibility
At first, Ravi and Sanjeev’s parents gave them equal amounts of Pocket Money. However, they noticed that despite receiving the same amount, Ravi would often save most of his money while Sanjeev would spend it all on toys or snacks. This lead to arguments between the brothers, with Sanjeev accusing Ravi of being stingy and Ravi calling Sanjeev irresponsible.
To resolve this issue, their parents came up with the idea of giving Ravi more Pocket Money, as a reward for his responsible spending habits. They explained to Sanjeev that this is not because they love Ravi more, but as a way to teach him the importance of saving and budgeting. The ratio system was also implemented to show Sanjeev that in life, we are not always equal, and sometimes we need to earn what we receive.
Earning Money through Online Games
As technology continues to advance, children are spending more time online, and this includes playing online games. While some may argue that this is a waste of time, there are actually ways for children to earn money through playing games. Online gaming platforms such as Roblox, Minecraft, and Fortnite offer opportunities for players to earn virtual currency that can be exchanged for real money.
For Ravi and Sanjeev, this opened up a new opportunity for them to earn their own money. Their parents allowed them to play these online games, as long as they dedicated a certain amount of time to studying and responsibilities. Both brothers quickly learned the value of hard work, as they needed to complete tasks and challenges within the game to earn currency. They were then able to use their hard-earned money to purchase virtual items within the game or save it up for their monthly allowance.
The Benefits of Earning Money Online
Earning money through online games not only teaches children the value of hard work and financial responsibility, but it also helps them develop important skills. These skills include problem-solving, time management, and even basic coding for some games. Furthermore, it gives children a sense of achievement and boosts their self-confidence when they see the results of their hard work.
While it is important to monitor the amount of time children spend on these games, earning money through them can be a beneficial activity for children. Through this, they can learn about financial management, responsibility, and the value of earning what they receive.
In conclusion, Pocket Money plays a crucial role in teaching children about the value of money and financial responsibility. The ratio system used by Ravi and Sanjeev’s parents may seem unequal, but it has helped the brothers learn important lessons about fairness, responsibility, and earning what they receive. With the rise of online games, there are now opportunities for children to earn money while developing important skills. As long as this is monitored by parents and balanced with other responsibilities, it can be a valuable learning experience for children. So while Pocket Money may seem like a small allowance, its impact on children’s financial education and overall development should not be underestimated.
