Middle‐School Children's Sources and Uses of Money

Abstract

Despite their growing economic power, children's acquisition and use of money rarely has been investigated in academic research, although it has been a frequent topic in the media. This study (1) describes sources and uses of money children (age 10–15) receive; and (2) investigates the association of children's uses of money with their age, gender, family structure, and sources of money. The sources of money are associated with children's uses of it, but age, gender, and family situation do not relate to the way they use money. Consumer education should focus on the sources of children's money in relation to the way they use it.

Substance use among adolescent students with consideration of budget constraints

“…Studies highlighting the exact products on which teens spend their incomes are scant, although it is known that most of a teenager's income is used for discretionary purchases (Meeks 1998). Doss et al (1995) report that middle school children ages 10-15 spend 73% of their income, save 18% and use the rest on gifts. Younger children may have different spending habits as Belk et al (1985) show in a study of seventh graders.…”

“…In studies that examine the proportion of income spent on certain products, food and clothing top the list. Doss et al (1995) find that 26% of middle school children's total income is spent on clothing, 9% is spent on food, 6% is spent each on books/magazines and sports/recreation, and 5% is spent on videos and movies. Older children have slightly different spending habits.…”

“…The products that youth buy and the corresponding spending patterns differ by gender but typically most income is spent on clothing, stereos and music, televisions, eating out, gasoline, recreation, gifts, and personal expenses (Doss et al 1995;Bailey 1992;Zollo 1995). In studies that examine the proportion of income spent on certain products, food and clothing top the list.…”

“…McNeal (1990) estimates that family members supply 83% of a child's income while the rest comes from outside the home. Estimates of the proportion of children receiving allowances range from a high of 90% (Doss et al 1995) to a low of 50% (Meeks 1998).…”

“…Teenagers primarily get their income from allowances, wages, and gifts (Meeks 1998;Doss et al 1995). McNeal (1990) estimates that family members supply 83% of a child's income while the rest comes from outside the home.…”