Dad Collects Rent From His 6-Year-Old Daughter Every Month, Teaching ‘Not All of It Is Hers to Spend’ 

Michael Madden has seen too many adults struggle with basic money skills, so when he became a dad, he decided to take a different approach. His goal: make learning about money fun, realistic, and age-appropriate.

Michael, a territory manager for a mechanical distributor in Central Texas, recently introduced his 6-year-old daughter, Rose, to a chore chart system — with an extra twist: “rent.”

“I thought, if she’s going to earn money, it’s also important she learns that not all of it is hers to spend,” he tells PEOPLE exclusively.

Rose, who’s about to start first grade, earns points for chores and good habits like brushing her teeth without reminders or helping clean up. Once she reaches 25 points, she gets $5. If she hits 30 points, she earns a bonus.

From that amount, 20 percent goes toward “rent and utilities,” giving Rose a clear picture of how bills work — without actually taking away any of her money. The rest is hers to save or spend, with her parents’ guidance.

“It all gets saved for her,” Michael explains. “We don’t take her money. It’s more about showing her that when you earn money, a chunk of it goes toward your needs before your wants. It’s a budgeting lesson in disguise.”

@michael_talksmoney

DM me for the Budget Binder, Savings Challenge Binder, and Chore Chart links. I’ll send them right over! She pays rent. She tracks her chores. And yes, we make it fun like a game. She loves it. She’s motivated to do the same tasks she already should be doing, but now there’s a reward tied to it. She’s learning that money is earned, not given. And soon, we’ll teach her how to budget, save, and buy the things she wants, if she has the money for it. Because learning to work with money at 6 means she won’t struggle with it at 26. 💸

♬ original sound – Michael -IG michael_talksmoney

Although Rose is only 6, Michael says she’s absorbing the concept quickly.

“She knows rent is what adults pay to live in a house. She knows electricity isn’t free, and that you need to save money if you want to buy something big. She gets the basics and asks smart questions,” he says.

Michael adds that Rose enjoys the system and takes pride in reaching her goals. “Sometimes she even reminds me to update her chart,” he says with a laugh.

The goal, he says, is to teach values like delayed gratification, responsibility, and consistency. “When we’re out shopping, if she doesn’t have the money, she usually stops asking for it. If you can buy it, great. If not, you don’t. Lord knows she doesn’t need another toy.”

Michael recently shared the idea on TikTok, where he talks about financial literacy and budgeting tips. He figured some parents might find the approach useful — but he didn’t expect it to go viral. The post has now drawn nearly 6.8 million views and over 4,800 comments.

“A lot of parents messaged me saying they’re going to start doing something similar,” Michael says. “Of course, there were a few people who didn’t agree, but I expected that. One message said, ‘I wish someone taught me this at 6.’ That one hit home. That’s exactly why I did it.”

He hopes other parents see that it doesn’t have to be complicated. “You don’t have to go full rent system,” he says. “But don’t underestimate your kids. Make it fun and simple, and they’ll surprise you with what they pick up.”

Looking ahead, Michael and his wife, Savannah, 27, plan to keep the system and adjust it as Rose grows. His ultimate goal is to show her that money isn’t something to fear — and that learning to manage it early can mean more freedom and less stress later in life.

“This wasn’t about trying to go viral or making a statement,” Michael says. “I’m just a dad teaching my kid what I wish I’d learned when I was young. If it helps other parents, even better.”