Make kids earn pocket money, says TV Dragon.
Byline: vicky shaw
DO YOU give your kids regular pocket money - or even just bung them some cash whenever they need it? Dragons' Den star Sarah Willingham is a firm believer that pocket money should be "earned not expected".
The consumer champion, businesswoman and mum of four has worked with credit check firm Experian to develop a free app called Jangle that helps kids aged seven to 11 develop money skills.
Experian research says 85 per cent of parents give out pocket money without expecting anything in return.
But experts say children develop their money habits from a very young age, and Sarah is determined to help set them on the right path.
She says she'll never forget the value of the money she earned on a paper round as a girl. And she adds: "If you're given a pound and you spend that pound, it's very different to if you've spent half an hour sweeping leaves.
"I do think pocket money is a perfect place to start. It's often the first time children have any relationship with money themselves."
Sarah often chats to her own children about prices and the best deals as they go round the supermarket. And when the kids set up a play restaurant at home, they discussed all the costs that went into serving food.
"It was a great learning process," Sarah said. "If you sell a cappuccino for PS1, who's making it, who's putting the electricity on, who's renting that property etc etc.
"Ultimately you're making 16 per cent or something off that cappuccino, but it's important to understand everything that goes into it. The more we can think outside the box like that as parents, the better. And it's great to do it from a really young age.
"It's that kind of understanding. It's so much fun as you see their brains think about stuff like that.
"It's really cool."
TEACH THEM EARLY Dragon Sarah Willingham