0. Save first. Spend the rest.
1. No money / allowances for doing chores. Chores are part of your life in your household.
2. Maintain a piggy bank or a notebook to note down what you have received and put it in savings. This would be the start of your wealth. My parents didn't adjust this amount to account for inflation, but I plan to do this for my children. They also kept the money in their bank account, but I kept track of the money in my notebook.
3. Maintain a notebook showcasing income/expense wrt your piggy bank.
4. After a certain age, sit with your child and explain the monthly expenses and investments and why they constitute a % of the total income/expense. Additionally teach them about investments and insurance.
5. Explain why certain things are outside of your capability to buy stuff. This would enable them to understand that not everything is affordable.