Should Your Children Pay Rent? Why or Why not?

How far would you go to teach your child financial independence?

We are all about teaching financial independence to our kids. Nevaeh, our 14-year-old, even has stock in Starbucks and AT&T. But how far should parent’s actually go to teach their kids how to be financially responsible adults?

This mom’s post on how she’s teaching her five-year-old about finances has gone viral. Essence Evans claims she makes her daughter pay rent.

In a Facebook post, Essence explains how doing this will guarantee her daughter understands how to manage her finances.

“Every week she gets $7 in allowance. But I explained to her that in the real world most people spend most of their paycheck on bills with little to spend on themselves,” Essence wrote.

“So I make her give me $5 dollars back. $1 for rent, $1 for water, $1 for electricity, $1 for cable and $1 for food. The other $2 she gets to save or do what she wants with.”

Essence further explained the $5 she takes from her daughter every month isn’t going back into her pocket but that she’s investing it for the little girl.

“Now, what she doesn’t know is the $5 is actually going away in her savings account which I will give back to her when she turns 18,” Essence explained.

“If she decides to move out on her own she will have $3,380 to start off.”

The post then went viral, with many mothers praising Essence for her practical lesson. Others, however, accused her of “robbing her child of a carefree childhood”.

Be sure to check out these other great parenting articles while you are here!

If you have a teen (or pre-teen) daughter, you know how hard communication can be. So many things are changing in their lives and keeping open communication with them as they face these transitional years is so important. My oldest daughter is fourteen and we don’t always see eye to eye on certain subjects. This Mother-Daughter Journal has been a great way for us to communicate as well as learn new things about one another. It’s a 28-page printable filled with awesome prompts to get you and your daughter chatting. You can add more if needed.