So, how do you pay your kids an allowance when they have so little use for cash?
The rise of digital entertainment has upended whole industries, from Hollywood to the music business. Now it’s striking at a touchstone of the American family: the allowance. Kids are pouring money into things that can’t be bought with cash — music downloads, cellphone ringtones and online videogames. JupiterResearch estimates teenagers spent $3 billion online last year alone. In many families, the upshot has been the demise of the weekly cash dole that parents have long used to teach kids financial responsibility and keep them from busting the budget.
Maybe it’s just the digital immigrant in me speaking but isn’t it amazing how much can be spent on stuff you can’t even touch? And American Idol hasn’t even started this year.