Age-specific guide
Allowance for 14-year-olds
Recommended range: $20–$40 per two weeks. Paid biweekly like a real paycheck.
Recommended split
Phase out the fixed allowance if they have a real job. Replace with "save 40% of everything you earn" discipline.
The parent lens
Fourteen is the earliest age many states allow formal W-2 employment. A summer job, even 15 hours a week, is a transformative financial education. And it's Roth IRA time — the earliest you'll ever get that tax-free compounding clock started.
Chores a 14-year-old can handle
- •Regular paid employment (lifeguard, camp counselor, retail at 14/15 with work permit)
Typical savings goals at this age
- •First car savings
- •Summer trip
- •Prom / dance
- •Tech upgrade
Money topics to teach now
- •W-2 and paystub reading
- •First tax return
- •Credit score basics
- •Roth IRA opening
Common mistakes
- ×Not filing the kid's tax return even when it benefits them (refunds for withheld taxes on small earnings)
- ×Letting the whole paycheck go to fun money — enforce a 40% save discipline
FAQs
Is $40 a week too much for a 14-year-old?
Depends on the structure. If it's allowance on top of a job, yes. If it replaces a job (so they can focus on school/sports/service), it's a family choice.
Can my 14-year-old open a Roth IRA?
Yes, if they have documented earned income. Max contribution = what they earned that year, up to annual limits.