Saving a share of received money: do not treat the whole promise as paid
By Erik Nilsen · Kroni3 min read
When money arrives in instalments, your family must decide which amount the savings percentage uses. This exercise uses money your child has actually received. It does not mean a promise is forgotten or a virtual app entry is the same as cash.
Calculate the first amount received
In a hypothetical example, the family has agreed to give your child 100 units. First, 40 are given; the remaining 60 will arrive on a clearly agreed date. Your child wants to save 20 per cent of received money and spend 30 on an optional purchase. The arbitrary figures are invented, and the full promise of 100 still stands.
From the first received amount, 40 × 0.20 = 8 units are set aside. After saving and buying for 30, the remainder is 40 − 8 − 30 = 2 units of money actually received.
Calculating 20 per cent of the full promise instead gives savings of 20. Together with the purchase, that requires 20 + 30 = 50 units, 10 more than the 40 received. The missing amount does not become available simply because the percentage calculation is correct.
Write “received 40”, “saved 8”, “spent 30” and “remaining 2”. On a separate line, write “agreed, not yet given: 60”. Do not put that line into the cash total.
Calculate the next part when it arrives
When the 60 are actually given, save 60 × 0.20 = 12. Total savings become 8 + 12 = 20, which is 20 per cent of the 100 received altogether. The amounts are allocated at two different times, but the overall savings share is unchanged.
A realistic snag is your child thinking the remaining 60 no longer count because they sit outside today's cash sheet. Show the separate promise line and date again. The parent follows through on the agreed amount; this exercise must not hide a delayed payment.
Saving 20 from a virtual balance now could be a different agreed model. Keep actual cash spending and virtual amounts clearly separate in that case. The same 40 cannot pay for both the purchase and actual cash savings of 20.
Ask your family: “Which amount are we applying the percentage to today, and when will we calculate the remaining 60?”
Clarify what the virtual balance represents
Kroni keeps track using a virtual balance and does not transfer money. Cash your child has received and amounts an adult still owes are different things. This exercise concerns money actually received. Agree how it fits your record so the same amount is not counted both as received and still unpaid. Read about allowance in Kroni.
