Allowances

There are a number of different economic contexts in which the term allowances is used, and the meaning is different in each context. This entry will discuss the concept of allowance in the context of young people and the workplace (including the military, investment, sales, taxation, and construction). In general, an allowance usually refers to a sum of money that is given by one person to another person, often for some specific purpose rather than for the recipient to use as he or she sees fit. Thus, there is typically an element of ongoing control exercised over the funds even after they change hands. Sometimes this control is exercised through reporting requirements, under which the recipient is required to report back to the entity that ...