When I was growing up I got an allowance that consisted of a dollar and twenty five cents, each week. I had to work hard for the money, but it meant that I could buy candy and things like that.
One thing that it didn't teach me was how to manage my money.
As our daughter gets older we wanted to work something else out than allowance. Something that would help her get used to managing her money. Now what we do is put a small amount of money in to an account for her each week.
She has to check the balance, plan, and then use her card.
We have over draft protection and she is only allowed to withdrawn 80% of what is in the account.
So far I am pleased with the results. At first she was scared of the idea, but now she has taken to it with finesse.
If you want to teach your child about responsible spending this might work for you.