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The phrase "allowance system" is correct and usable in written English.
It can be used to refer to a structured method of providing allowances, often in financial contexts or organizational settings.
Example: "The company implemented an allowance system to help employees manage their travel expenses more effectively."
Alternatives: "stipend framework" or "allocation model".
Exact(24)
A household's screen-time allowance system may morph over time.
Neither have I abused the allowance system of the House of Commons in any way".
This allowance system lasted until the enactment of the Poor Law Amendment (1834).
The MG comes with a preapproved digital allowance system, so children can do their own shopping.
"The new regulator would oversee and administer the new allowance system, investigate abuses and impose financial sanctions as necessary.
He also introduced a change to the capital allowance system for corporate taxation – that's effectively a massive tax avoidance scheme.
Similar(33)
According to Van Aswegen, his Chinese guests are impressed by the egalitarian quality of MK's oft-derided roundabouts: they call them "democratic traffic allowance systems".
Citizens Advice Scotland (CAS) has called for urgent changes to jobseeker's allowance and employment support allowance systems.
Unlike other online allowance systems, Kidzillions combines the benefits of budgeting, saving and responsible spending, helping kids learn essential lessons about personal finance and accountability in a cashless society.
And there is institutional spring cleaning changing the allowances system, improving MPs' usefulness and getting rid of the most grievous offenders.
Sorting out the mess of the allowances system is an urgent priority, but it is only one part of the much bigger challenge we face to make ourselves relevant to our country.
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Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com