Families are cost-cutting due to the rising cost of living and one of the first things going is pocket money.

Research has found 11 per cent of parents have cancelled their kid’s pocket money in the last year.

Finder money expert Sarah Megginson told 6PR Afternoons pocket money is a great way to teach kids about money.

“It shows just how difficult things are,” said Ms Megginson.

Press PLAY below to hear why Ms Megginson believes pocket money shouldn’t be cut