Kid Wants the Pricier Version? How to Agree Who Pays the Difference
By Erik Nilsen · Kroni7 min read
Yes, you can split it. You pay for a version that meets the need. If your child wants a more expensive model, the only thing you talk about is the difference. Your child can pay that difference or take the basic version. Either way, the need is covered. The only thing your child decides is whether the extra is worth their own money.
Order matters most here. First you decide what is good enough. Then you talk about the pricier option.
Step 1: Check that the basic version really works
Before you ask your child to pay anything, be honest with yourselves. Is the cheapest option actually good enough? If the gym shoes rub, the jacket isn't warm enough or the backpack falls apart after a month, it isn't a real basic option. In that case the "difference" is really part of the need, and your child shouldn't have to earn it.
A few questions to ask before you shop:
- Does it fit, and is it comfortable to use?
- Can it handle what your child will actually use it for?
- Will it last the season or the school year?
- Can your child use it without feeling unsafe or left out in a way you think is fair to take into account?
If the answer is yes on the points that matter to you, you have a basic option. You as the adults pay for it, with no conditions attached. Necessary things are the adults' responsibility, even when your child has money of their own.
For a broader look at what counts as a need and what counts as a want, see Needs vs. Wants for Kids: 5 Practical Money Tips. This article covers the one case where a single item is both a need and a want.
Step 2: Work out the difference together
Here is a fictional example to show how it can look. The amounts are only examples. They are not typical or recommended prices.
Example: Ida is 11 and needs new sneakers for gym class. Her parents have found a pair for $40 that fits well and can handle the wear. Ida would rather have a specific brand in a color she likes, and those cost $55.
| Amount | |
|---|---|
| Basic version (paid by parents) | $40 |
| Wanted version | $55 |
| Difference (optional for Ida) | $15 |
The conversation is only about the $15. Her parents still pay $40 no matter what Ida decides. Ida isn't paying for "shoes." She's paying for the upgrade.
It can help to say it plainly: "You're getting shoes either way. The question is whether the extra $15 is worth it to you, or whether you'd rather keep it for something else."
That gives Ida three honest choices:
- Take the basic pair and keep her money.
- Pay the difference with money she already has.
- Save up the difference first and wait to buy.
Choice 3 only works if the need can wait. If gym class is on Monday, buy the basic pair now. The upgrade can wait until next time.
Step 3: Agree ahead of time what happens if the price changes
This is where many deals go sideways. The store price differs from the online price, a sale comes along, or the shoes have to go back. So decide before you buy:
- The price drops: Who gets the discount? A simple rule is that the basic amount stays fixed at $40 and the difference shrinks. Your child gets the benefit.
- The price goes up: Does your child pay more, or does the agreed amount stand? Many families find it fair that the child never pays more than agreed without a new conversation.
- Return or exchange: If you switch to the basic version, your child gets the full difference back.
- The item breaks or gets lost: Agree whether you replace the basic version, and whether your child covers the upgrade themselves next time.
It takes two minutes to agree on this, and it can save you an argument later.
Agreement card: basic, upgrade and difference
Here is Ida's card filled in as an example (fictional):
Agreement card, filled-in example
- Item: Sneakers for gym class
- The need: Shoes that fit and last through gym class all school year
- Basic version that meets the need: Sneakers, $40
- Who pays the basic: Mom and Dad
- Wanted version: Brand-name shoes in blue, $55
- Difference: $15
- Who pays the difference: Ida, from her savings
- Needed by: Next Monday
- If the price drops: Ida pays less
- If the price goes up: New conversation before buying
- If returned or swapped for the basic: Ida gets back the difference she paid
- Who buys: Dad, on Saturday
And here is a blank template you can copy:
Copyable agreement card
- Item: ______
- The need: ______
- Basic version that meets the need: $______
- Who pays the basic: ______
- Wanted version: $______
- Difference: $______
- Who pays the difference: ______
- Needed by: ______
- If the price drops: ______
- If the price goes up: ______
- If returned or swapped for the basic: ______
- Who buys: ______
Adjust for age
How you have the conversation depends on your child. Here are some ideas, but you know your child best:
- Younger kids: Keep it concrete. Put two notes on the table, one with the basic price and one with the difference. Show that your child only decides about one of them.
- Middle grades: Your child can help find the basic version and work out the difference. That makes it clearer what they are actually paying for.
- Teens: Teens often want bigger things, like a jacket, a phone case or ski boots. The same principle applies. You might also give your teen the basic amount and let them choose, as long as the need gets covered.
When your child needs to save up the difference
If your child doesn't have enough and the item can wait a bit, the difference can become a small savings goal. That keeps the line clear. Your child isn't saving for something they need, but for something extra they want.
In Kroni you can create a savings goal for just the difference, for example "Blue shoes, $15." Your child sees the balance grow as they complete tasks you've agreed on. Kroni only shows a virtual balance and doesn't move any real money. You buy the shoes with real money outside the app and record your child’s actual contribution once. If that money is already set aside in a savings goal, do not also deduct it from the available balance. One way to handle it is to move the amount from the goal back to the available balance first, then record the purchase there. Your child can have several savings goals at once, so this one doesn't need to push aside anything else they are saving for.
If you want to explain how a balance and a goal fit together, Balance Explained for Kids: Goals, Mastery and Money may help.
What you can do this week
- Pick one item your child will need soon.
- Find a basic version you think will do, and decide that you'll pay for it.
- Let your child show you what they'd rather have, and work out the difference together.
- Fill in the agreement card, including the points about price changes and returns.
- Buy once you agree, and stick to what you wrote down.
The key message is that the need is never at stake. Your child gets what they need. The only thing they decide is whether the upgrade is worth their own money.
Frequently asked questions
- What if my child says the basic version isn't good enough?
- Listen to their reasons. If the cheaper option really doesn't fit, can't handle the use or won't last, it isn't a true basic option. Find a better basic version and pay for it yourself instead of making the difference your child's responsibility.
- Should my child keep the leftover if they choose something cheaper?
- That's a family decision. Some parents let the child keep the savings when they choose a cheaper item, and others don't. What matters is that you agree before buying so no one is surprised.
- Can my child save up the difference in Kroni?
- Yes. You can create a goal for the difference and set aside money from your child’s virtual balance. You buy the item with real money outside the app and record your child’s share once. Account for money already set aside in the goal so the same amount is not deducted from both the goal and the available balance.
