Yeah most MLC WAW are very adamant about not taking. Depending on you takes their independence. Sounds like she is getting advice from the league of evil ex wives.
My best advice is to calmly and lovingly explain to her the financial difficulties this creates for you. Then go ahead and grant them. Coming out as the bigger person is paramount IMHO. Even if you give her the money she will realize eventually that it will run out someday. Also if possible try negotiating to only give her enough for the basics. It'll be contradictory to fund a party lifestyle.
