A recent study has found that three in five parents prefer their children to receive cash as a gift for their birthdays. Despite this preference, only 41 per cent of birthday party attendees actually give money as a gift to children, according to a poll of 1,000 parents with kids aged between five and 11.
The main reason for this preference for cash gifts is that parents feel their homes are already overflowing with toys that their children don’t play with. Additionally, almost half of the parents surveyed (49 per cent) would rather their kids receive cash so they can choose something they really want.
However, there are concerns among some parents about giving cash as a gift. About 22 per cent fear being seen as lazy for not buying a physical present, and nearly half of those worried that it might be perceived as a last-minute or low-effort option.
Despite these concerns, many parents (36 per cent) believe that giving cash can help reduce clutter in their homes, as it eliminates the need for more physical items. Cash gifts also give children the opportunity to use the money for experiences or days out, according to 34 per cent of parents.
The research also revealed that children are generally happy and excited to receive cash as a gift. They feel empowered to choose what they want to buy and learn valuable skills like budgeting. Many parents (76 per cent) use cash gifts as an educational tool to teach their children about the value of money, starting as young as five years old.
On average, children between the ages of 5 and 11 receive around £55 per birthday as cash gifts. Some children follow a ‘spend some, save some’ approach with their money, while others immediately spend it all on toys or games.
Etiquette expert Jo Bryant suggests that giving cash as a gift can be a thoughtful gesture if done right. She recommends including a personal note in the card, matching the cash amount to what you would spend on a physical gift, and giving notes instead of coins for convenience. Bryant also advises children who receive cash gifts to write thank-you letters to show appreciation and share how they used the money.
In conclusion, cash gifts are becoming increasingly popular among parents and children due to the practicality and educational opportunities they provide. By giving money as a gift, parents can help their children develop financial skills and avoid adding to the clutter of unused toys in their homes. So, next time you’re considering a gift for a child’s birthday, cash might just be the way to go.
