Monetary Incentive Program

 

 

OVERVIEW

 

The Monetary Incentive Program is a program that provides girls who are having academic problems money if they improve their performance in school.  In this study, the girls showed significant improvements in their grades and attendance at the end of the intervention.  At the one-year follow-up, the impacts did not remain.

 

DESCRIPTION OF PROGRAM

 

Target population: Girls at risk of school failure

 

The monetary incentive program provides $50 to girls who improve their grades in their poor performing areas by 15%.  The next $50 is received when the girls improve their grades by an additional 15% or when no more than two absences were recorded, depending on the student's problem area.  This strategy can be considered an all-or-nothing contract.  An alternative distribution strategy (incremental contract) can also be implemented.  Girls can be given $10 for half-grade improvement in each of four courses with a $10 bonus for improvement in all four courses, totaling $50.

 

EVALUATION(S) OF PROGRAM

 

Reid, W. J., & Bailey-Dempsey, C. (1995). The effects of monetary incentives on school performance. The Journal of Contemporary Human Services, 331-341.

 

Evaluated population: One-hundred and twelve girls in grades 6 through 10 in Burlington, VT.  All girls in the study had problems with grades or attendance.  The girls were white and primarily from low-income families.  The median age of the girls was 14 years.

 

Approach:  Students were randomly assigned to the payment program, a case-management program, or a control group.  The case-management program used a team of social workers, teachers, and parents to work together with the participating girl to find ways to improve their academic performance.   For more information about the case-management program, click here.  As described above, the payment program was split into two groups.  One group was paid through the all-or-nothing method, and the other group was paid through the incremental method.  Girls were assessed on grades (measured by grade point average) and absences.

 

Results: The payment group had significantly higher grades and lower absences than the control group.  At the one-year follow-up, there were no significant differences between any of the three groups.

 

 

SOURCES FOR MORE INFORMATION

 

References

 

Reid, W. J., & Bailey-Dempsey, C. (1995). The effects of monetary incentives on school performance. The Journal of Contemporary Human Services, 331-341.

 

Program categorized in this guide according to the following:

 

Evaluated participant ages: 11-17

 

Program components: School-Based

 

Measured outcomes: Education and cognitive development

 

KEYWORDS: Adolescents, Middle School, High school, Female, White, High-Risk, School-based, Academic Achievement, Case Management

 

 

Program information last updated 9/29/09.

 

 

 

 

 

© Child Trends 2003