Guides · Pocket money
How much pocket money by age?
A starting amount for kids aged 4 to 13, whether to tie it to chores, and how to split it into Spend, Save and Grow.
The short answer
About $3, $5 or $10 a week
Bars are drawn to scale. Ages 4 to 7 get $3 a week.
Start there, then raise it as they take on more of their own costs.
There's no right amount of pocket money. It depends on what you want it to cover, how many kids you have, and what your budget allows. But most parents want a number to start from, so here's the one PocketPals suggests when you add a child, and why.
Pocket money by age
| Age | Each week | What it's for | What they learn |
|---|---|---|---|
| 4 to 7 | $3 | A small treat, or saving up for a toy over a few weeks | Spend it now, or save it for later |
| 8 to 10 | $5 | Small things they choose, and one bigger goal at a time | Saving for a goal, and watching savings grow |
| 11 to 13 | $10 | Some of their own costs, like snacks, gifts or an outing | Budgeting, and how interest works |
These are the amounts PocketPals fills in when you add a child of that age. You can change them for each child at any time, and they don't have to match between siblings.
Why start lower than you might expect
Plenty of families give more than this, and that's fine. We start small for three reasons.
- A goal should take weeks, not months.At $5 a week with $2 going to Save, a $10 toy takes five weeks. That's long enough to learn patience, and short enough that they don't give up.
- It's easier to raise pocket money than to cut it.A raise on a birthday feels like a milestone. A cut feels like a punishment.
- Extra can be earned.Special jobs, like washing the car, can pay a little on top. So a child who wants more has a way to get it.
Saved after each payday, at $2 a week.
How to choose the right amount for your family
Before you settle on a number, it helps to answer these:
- What will it cover?
- If pocket money is only for treats, the amounts above are plenty. If your 12-year-old will buy their own canteen lunch on Fridays, add that cost on top.
- What can you keep up every week?
- A smaller amount paid every payday teaches more than a bigger one that's sometimes forgotten.
- How will siblings compare?
- Different amounts for different ages are fair, as long as kids know the younger one will get the same when they're older.
- When will it go up?
- A birthday is a natural time to review it, or when they take on a cost you used to pay.
Should pocket money depend on chores?
This is the big question for most families, and there are good arguments both ways. PocketPals lets you pick one of these for each child.
The same every week
They get the full amount every payday, whatever the jobs. Jobs are part of being in the family, and pocket money is for learning to manage money. This suits younger kids, and families who don't want money to be the reason jobs get done.
Paid for the jobs they do
They get the share of the week's jobs they did. With $5 a week and 18 of 25 jobs done, that's $3.60. It's fair and easy to explain, and every job counts.
All or nothing
They get the full amount if most of the week's jobs are done (80% by default, so 20 of 25), otherwise nothing. It's simple, but a bad week can feel harsh, so it suits older kids best.
A set amount for each job
Each job pays by its size. By default that's 20c for a small job, 50c for a medium one and $1 for a big one, up to their weekly amount. Three small jobs a day for a week comes to $4.20. This one is closest to a real job.
Spend, Save and Grow
Pocket money teaches more when it's split as soon as it's paid. In PocketPals every payday goes into three places.
The split we start with is half to Spend, 40% to Save and 10% to Grow. On $5 that's $2.50, $2 and 50c. On $10 it's $5, $4 and $1. You can switch to a saver split or a mostly-spend one.
Kids aged 4 to 7 just have Spend and Save. Grow starts at 8, when the idea of money earning money starts to make sense. By default you add 5c for every $1 in Grow each month, up to $2 each time. So $20 left in Grow for a month earns $1. Our Spend, Save and Grow guide has more on each jar.
Paying it
PocketPals never holds or moves money.
Pay pocket money the way you already do: cash, a transfer to their bank account, or into a money box. PocketPals works out the amounts, keeps count of what's paid and owed, and shows your child where their money is.
Pick one payday and keep to it. Kids learn quickly that money arrives on a schedule, which is exactly what makes saving possible.
Try a whole pocket money week, free
PocketPals suggests pocket money and jobs for each child's age, keeps count of what's done, and splits payday into Spend, Save and Grow. You pay them your usual way, cash or bank.
Start free weekFounders pay A$3 a month or A$30 a year. Cancel any time.
