'Kids Don't Need an Allowance' — Dave Ramsey Says Kids Should Work For Money: 'I'm Not Saying Your 7-Year-Old Should Be Flipping Burgers…'

If you've ever forked over cash just because your kid asked nicely, you're definitely not alone. A lot of parents hand out allowances like weekly snack rations—automatic, expected, and loosely tied to breathing. 

But personal finance expert Dave Ramsey isn't having it. In a Facebook post shared last year, he made it clear: kids don't need an allowance—they need a lesson.

"Your kids don't need an allowance. They need to learn to work," Ramsey wrote. "Let me be clear: I'm not saying your 7-year-old should be flipping burgers or punching a time clock."

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So no, he's not advocating child labor. But he is saying that money shouldn't just magically show up every Friday like it's their birthright.

"I am saying they need to learn that money comes from work—not just from existing," he added.

Instead of a flat-out allowance, Ramsey recommends paying kids a commission for age-appropriate chores. Clean your room? That's a few bucks. Mow the lawn? Maybe a little more. Help out around the house in a meaningful way? That's how you earn.

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"The goal isn't to overwork them—it's to help them understand that money comes from effort, not entitlement," he wrote. "These lessons will stick with them for life."

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That advice stands in sharp contrast to what most parents are actually doing. According to a 2022 survey from T. Rowe Price, parents give their kids an average allowance of $19.39 per week, per child. That's nearly $80 a month—more than some adults spend on streaming services.

The core of Ramsey's message isn't about saving a few bucks—it's about raising financially competent humans. Teaching kids the connection between effort and income lays the foundation for better habits down the road—budgeting, saving, avoiding debt, and understanding that money isn't free.

It's a mindset shift, not just a budget tip. And in a world where financial literacy isn't a given, that shift might be worth more than $19.39 a week.

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