there have been conversations based on the question that you ask.
Before I will pass you on my advice,
allow me to say something that does not quite fit into the picture of the contemporary society:
I raised kids without allowances, but taught them to be caring, loving, AND also hardworking WITH JOY. I had an exclusive situation with my sons though, as they grew up in the mountains, in the total wilderness, so we did nothave stores around, and the money-issue was out of not only the question but even their life. My boys were introduced to the society at the age 10 and 8, and by then they had a well developed good character, when they did not COUNT what how and when they can help in the house: it came up naturally: they were washing floors, dishes, sometimes socks :), helping in the kitchengarden, cooking with and without me and so on... It did not happen out of a blue though: I really worked on it, and here is the example, please see below.
Money was circulating in our family like this: "Mom, could I have ... please, as I want to buy an ice cream (go to the cinema). Mom" "Are all your chores done, homework ready, and did you help anybody today?" If I got three positive responses (they never lied), then they got their ice cream money and some extra, 'just in case". Once in-a-while I gave them some money, and they lerned to use it wisely, by conversing with me: is it worth spending money, or is it better to save some more and get something more expensive a bit later... Once my daughter wanted a stuffed dog which was way too expensive. I said this is not a wise decision, and anyway we do not have such money. She started putting all the money aside: I often gave them all the change, for example. She also went to the store with me sometimes, and ran to that stuffed dog, hugged it, and always dug it deeper into the pile of toys so that nobody else could find her treasured 'friend', and finally in TWO MONTHS she had about 2/3 of the money to pay for that dog. As her desire was so huge, and she was so consistent with her decision, I added the necessary amount. She is 17, the dog is still 'alive' on her couch. :)
So, in SOME sense they did earn money, but not straightforwardly: you do this, you earn this much... I was concerned that if they do things FOR money they moight always wait for reward, and this is not an idea of happiness to me. There are times when an urgent help is needed, and people around should be able to provide this help just because they CARE, not for any reward.
Okay, this is how we worked it out, I will copypaste what i wrote earlier, answering the similar question, M.:
actively engage them into all cleaning and dish washing and such things: when I needed to wash floors, we turned the house into a pirate ship, and spilled some water on the floor, as if the huge waves washed the deck over, and we took turns who is the captain and the captain gave out orders (not only you alone do it!) how to clean up the floor, how to wash, what corners were missed and what else can be done so that all is sparkling. The sailors, under the captains' guidance (you in some cases) can also have a word to POINT OUT TO THE CAPTAIN what he missed while ordering around, and of course the captain must HELP the sailors, not only just being a chief commander, as if he does not help, he loses the authority of the sailors and they won't obey him...
when I needed to clean the room up, all the surfaces full of eee... whatever, you know, then I did it thuS: absolutely EVERYTHING from all over the room, goes into one huge pile in the middle of the room, on the carpet (floor): papers, toys, books, dishes, uneaten snacks, EVERYTHING. Everybody helped to do it, ans it was fun as you do not need to apply your brain into such cleaning, just all from everywhere goes into one pile. Be careful with liquids and chocolate/ketchup only, as you do not want it all wet or stained. Now, what do you see?
A clean room!!!!! One task is immediately accomplished. What else do you see? Now, the next part stARTS: THIS IS CALLED A "TREASURE HUNT": you can make it more fun if you take turns, and one at a time, you close your eyes, and pick ONE OBJECT from the pile of 'treasures', and decide (together or alone) where would be the best place for this object. garbage? Fine, run take it to the bin. Upper shelf? Great, climb up and put it there... and so on. If your 'crew' had a lot of energy, make then run all over the house to place things up one by one. If you all get tired, you can make smaller piles around in the circle: garbage pile; bedroom pile, kitchen pile, and once all sorted out, put all the bedroom pile into a plastic baggie, walk over there, and take thing one by one, placing them into places.
This way, your house is clean, you teach the kids to be caring, neat, happy, communicative, creative, and all are happy.
I copypasted this my response from here, http://www.mamasource.com/request/8359052428103909377
look maybe you will find more great advices, there are good responses there.
All the best to you and your family, M.!
All the best to you and your family!