Have you ever seen one of the signs that say, "Don't feed the _____ (insert favorite wild animal)?"

It always seems like the bear is ready for consumption, and regardless of how many warning signs there are, someone still feeds the bear.

Feeding the bear is like adding fuel to a problem. As the problem receives"food" it grows, and as it grows, it becomes more dangerous and less predictable.

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Allowance For Kiddos

My very first Steem post was entitled You Might Be Suprised Why I Give My Children An Allowance.

To recap, I give my children an allowance because I want my wife and me to have the opportunity to teach them how to use money. We want them to know how to save well, spend wisely, and give generously. While they are still young, I want to instill these valuable money principles into their lives.

Learning To Spend

My youngest daughter (who is four years old at the time of writing this post) has not yet grasped the idea of spending well. She makes her decisions based on emotion and not based on need. We all can fall into that trap.

As of late, her favorite phrase is, "I will pay you back." While at the local Walmart and especially at yard sales, she will see a trinket or package of candy that catches her eye. She runs up to my wife or me and asks, "Can I have it?" Our response? If you spend your own money.

Four-year-old girls often forget to carry around their purses, so she rarely has her money with her. As her Dad, I have a choice to make. Do I loan her some money or do I teach her the importance of delayed gratification? I tend to opt for the later. I end up with a daughter who is a little bit irritated and annoyed, but I can deal with that because I want her to learn valuable life lessons.

Giving Generously

My four-year-old's bigger sisters are not quite as firm as I am. When they hear her asking to borrow some money, they are ready and willing to step in and loan her a buck or two.

They keep feeding the bear! So you may be asking, "What is the big deal?" The allowance I give my kiddos is not that much. Remember that the goal is to teach them sounds money principles, not fund their every whim. And the allowance my children receive is based on age. The older and presumably more mature a child is, the more he/she will be given.

Four-year-olds don't receive much in our house, because most four-year-olds haven't learned basic money principles (as I have previously illustrated). My older daughters want to bless their younger sister, but they are lending money to someone who does not have money to pay them back. They keep feeding the bear!

Dad Steps In

I love their generosity. I wish my heart were more generous, but I can't let my youngest daughter bury herself in bad practices that could lead to her burying herself in debt.

We had a recent family meeting, and I told the generous lenders that they had to stop. The looks on their faces were priceless. It was if I was asking them to stop loving their sister. On the contrary, this act of hard love is what is best.

One principle that my Dad taught me was, "Only use a credit card when you don't have the money in your wallet, but you have the money in your bank account."

I am teaching the same to my kiddos, albeit with a bit of a twist. I cannot let them foster a spending behavior that is unhealthy, especially when it is a member of the family.

My four-year-old's next allowance is already designated to paying off her loan. It is not going to be a fun lesson to learn, but it is an important lesson to learn.

I Want To Hear From You

Let's continue the conversation in the comments section.

1. Do you give your children an allowance?
2. Do you think I am too harsh on my four-year-old?
3. Do you have someone in your life that has taught you strong money principles?

Thanks for stopping by!
@SumatraNate