Today’s fantastic family finance article is:
Should parents compensate kids for academic performance? Now there’s a controversial topic!
Several studies have shown that paying for grades, does not improve performance.
A Harvard study looked at a different angle: paying kids for the activities that lead to the result — like reading, studying, and attending class — rather than paying for the end result itself — good grades. This approach, it turns out, can be effective.
Here’s the downside for rewarding only the the ultimate grade: if the semester starts going down the tubes, the reward starts to feel unreachable and motivation disappears. On the other hand, if you’re paying for a habit like reading regularly or doing homework, it’s never too late. The upside always exists to improve.
And here’s the kicker from the Harvard study: student effectiveness persisted even after the paying stopped. The implication? Building the initial habit is the key. Once set, it sticks.
Certainly something to consider if your child is struggling in school.
Check out the NPR recap of the study in today’s article.
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