I would save up a few vouchers to help me in situations like these, like movie vouchers for instance. Would definitely economise and only buy food on special. I would walk instead of commute to more local activities. I would also engage in some free community classes like yoga. There would be one day I would check out some cool beaches, shopping centres and parks all day on unlimited public transport, which in Sydney is $21. On a weekend in Melbourne, only $3.50 on my MyKi.
I'd only spend it on food if I had to, and then only in cheaper stores like Aldi (they even have organic) or when it was on special in other stores.
For entertainment, I would look for great deals, sign up to a deal company website, and get active at free exercise like going for walks or yoga in the park.
To have savings on the side - I'd first work out what I was saving for, because to have savings just for the sake of having savings probably won't work as something would come up to spend them on. So, I'd work out a goal to save towards and how much I was willing to put aside toward that goal, and then put the money aside as soon as I received the allowance so that it would actually get saved and not gobbled up on other expenses.
If I was lucky enough to have an allowance of $100, which would be like winning the lottery to me.....I would save $60.
Spend the other $40 on whatever my little heart desires, like a new handbag one week...a meal with my son one week, a couple of movies with my son another week.Buy plants for my garden another week, give to a good charity.
Oh! and buy 2 nice little gifts for my friends another week....and I would be quite able to do wonderful things, 52 weeks of the year.
Then with the $3,120 I had saved I would start to make repairs on my little house.Which has been in need nearly 8 years.
Super glue will only keep tiles on the wall for so long.!
For entertainment if you have young children I recommend making your own play dough or investing in some versatile LEGO = Cheap + creative + long lasting + something new every time.
For food I would compare the market which is closest to me. My local shops up the road has a Coles and a Woolworths so I would make trips to both and exercise some maths skills to workout who has the cheaper of the products that I need. If the products are not fresh food, you could do swaps with your neighbours eg. with washing powder, toilet paper and non perishables. Stock up on 2 minute noodles which are quite cheap and vegetables which last such as potatoes and carrots. Invest in canned soup that is on special.
For savings, ensure that a percentage you are willing to save gets saved. This will probably vary from week to week depending on circumstances.
I wouldn't have any specific plans for it. I would just spend it as and when something was needed or I spotted something I liked. If after a few weeks, I still had a lot of money left over, I would but it into my savings account.