Spend, save, give jars for kids

What the jar method is

Three jars sit on a shelf. One says Spend, one says Save and one says Give. When your kid gets their allowance, they divide it between the jars. What goes in each jar stays there until the jar’s purpose comes up.

The point is to make a money decision visible. A pile of coins is hard to think about. Three jars with different labels are easy to talk about.

What each jar is for

Setting up the jars

1. Use three clear jars or boxes, so your kid can see the money add up.
2. Label each jar and let your kid decorate them.
3. Pick the split before payday and write it on a card.
4. On payday, your kid divides the money into the jars while you watch.
5. Decide when each jar gets emptied, and what happens when it is full.

Choosing the split

There is no right split. There is no standard split. Here is one example, using $5 a week: $2 to spend, $2 to save and $1 to give. It is only an example.

Some younger kids like a bigger Spend jar at first. As your kid grows, you can move more into Save. Let your kid have a say, and change the split when they ask.

Rules that keep it smooth

• Your kid chooses what to buy from the Spend jar, even when you would choose differently.
• The Save jar stays closed until the goal is reached.
• Give money goes out within a few weeks, so it does not pile up.
• Do not borrow from a jar to cover another one.
• Count the jars together once a month.

Tracking jars alongside Pouch

Pouch tracks one pretend balance and one savings goal per kid. It has no jars of its own, so there are two honest options. You can keep the jars physical and let the app hold the total. Or you can write the split down yourself, in a notebook or a note, each time you add the allowance.

The app’s savings goal tracks the whole balance against one target, so it can’t hold a separate Save amount. Keep the Save jar physical, or write the split down yourself. Pouch is free, runs in the browser and keeps everything on your device.

Common problems

• The Spend jar empties in a day. That is useful: your kid sees what a week of Spend money buys.
• The Give jar feels like a tax. Let your kid choose who gets the gift.
• The Save jar never grows. Show the goal on a picture, and move the target closer.
• Siblings compare jars. Keep each jar private and focus on what each kid wants.

Making the jars last

Jars work best when the routine is dull and regular. Do the split on the same day each week, at the same table, with the same card nearby. After a few weeks your kid will not need you to say what comes next. If a week is skipped, make it up on the next payday so the jars never fall behind.

Revisit the split every few months. A kid who wanted candy last season may want a bigger goal now. Letting them redraw the split is part of the lesson, because it shows that money choices can change.

Next steps

Jars need money coming in, so start an allowance first if there isn't one yet. For the Save jar, savings goals for kids covers picking a target, and allowance by age gives the rule-of-thumb amounts.