My 2 older kids are 12 and 11, and they don't get allowance. They get red pockets from family and friends annually from Chinese new year, which is usually a lump sum amount of about $250-$300 total a year. I get them to save at least half of it in sats, and the rest they keep as spending money. But now, they would just convert everything into sats, because I've brainwashed them into believing that the purchasing power of bitcoin goes up over time. They would put the amount they want to save in their on chain wallet (Nunchuk) and the spending amount in their lightning wallet (Phoenix). I'm their source of fiat if they want to buy things with fiat, and I make it a point to always want to get their bitcoin (which I actually do).

I also give them the choice of picking a $100 birthday present on their birthday, and a $100 Christmas present for Christmas, or $100 equivalent in sats for each occasions. They both took the sats for 2022 and 2023; looking back, it seems they both made good choices.

They also have chores that they must do for free, because they are part of the family and must contribute to helping the family. Chores include but not limited to, doing laundry and folding them after, washing dishes, sorting recycling, taking out garbage, raking leaves in autumn, shoveling snow in winter, baby sitting their baby brother (5yr old). I also offer them tasks that I pay for them to do such as washing my cars, resupplying my work supplies, or working for me. Basically anything that I would otherwise need to pay someone else to do or something that I get paid doing, I would pay them if they do these tasks.

Otherwise, they don't have a fiat bank account. I deal with them purely in cash and in sats, although they tend to always want to keep their money in sats and only exchange fiat with me when they need to.