Savings for your child...??

[LilDreamy]

Hey guys.

I'm just getting a bit worried about how I can make Alexa's Future a little bit more stable.

What are you guys doing about savings accounts and stuff?

Have you started one?
What age did you start one?
And how much is a descent contribute each year?

AND

What do you guys think is the best option for savings for little one?
A Trust Fund... Regular Savings Account... Maybe play around with Stock to help it increase... or what exactly do you guys use?

So far I've only saved about $1,050 for Alexa. But it's just sitting around, not in an account or anything.

 

[Baby France]

I opened an account for both of mine when they were born. I pay into them both £10 a month.

Any money they get for their birthdays and Christmasses go into them too. When they get a bit older OH and I will probably put more in and give the account to them on their 18 or 21 birthday.

 

[Ice Cold Cube]

I might be alone in my approach, but I don't plan to save anything for Alex for when he's older.

My OH and I have managed ok without any lump sums from our parents, and in fact I think it has helped to shape who we are and our appreciation for the value of things that we both worked our way through University etc.

Laura x

 

[Hellodoris]

We started a savings account about 8 days after small was born (she got a lot of money from relatives). We've just gone for a basic children's savings account for now as its low risk and has a decent interest rate (well as decent as we can get). If I were looking to invest in shares etc then i would go to an independent financial advisor... I would not trust mysel tO get it right.x

Sorry should add all birthday and Christmas money gets put in there unless she needs something at that time, plus we pay a small amount in each month.

 

[jellybean20]

i opened an account for my daughter when she was born but havnt put much money in it yet inly about £500 as i was on MAT leave so money was tight. i think its really important as im a single parent and was hate to feel that she misses out on thinks because off the situation she was born into. i would like to give her the opertunity to go to uni if she wants and with fees currnetly £9,000 i hate to think what they will be in 17years.

 

[LilDreamy]

Yea, That's what I'm afraid of as well. Money for University is rediculous!

I think I may start putting about 30 Euro A month in for her for now. and of course the money I get for Taxes for her which is about $1,000 I will put away for savings and any holiday money she may get.

 

[QTPie]

Make sure that you consider these things:
- what is the money likely to be used for (education, university, house deposit, first car).
- whether you want LO to ultimately have access/control over it (espcially if it is sizeable).
- the risk you are prepared to take with it: stocks and shares are great for growth, but you can also loose a lot of money that way too - growth is not guaranteed...

Personally, we are keeping control of most of DS's savings (which are already quite generous, thanks to family). I have heard of sizeable trustfunds disappearing into the etha at 18/21.... Although I hope to bring DS up to be responsible with money, you never know... His will be used for education and university (which is likely to be very expensive by the time he is 18!), anything left with be used for a car and - when the time is right - towards a deposit for a first house (although with the way that the cost of education is going, I am just hoping that we manage to fund him through university....)

QT

 

[AlwaysPraying]

I've also heard of people setting up trust funds that don't pay out until 30 years of age. That way the child has gone through his teens, and terrible 20's (lol, that's what I call them), gone to college and then settled down. If the money needs to pay off student loans,then he can do that, or if he needs to pay a downpayment on a home, or a car, then it's there for that as well. By 30 they are more mature than say 18 or 21, and the money will go to better use.

That being said we only have a couple hundred dollars in a savings account for my son. It's an education account, so can only be paid out to a college or university. That should get him one book, maybe, lol.

 

[Seity]

We're lucky to pay the bills each month and eat. No savings for us.

 

[catfromaus]

We have one account for the girls, we put in about $1000 a year.

 

[hardworknmama]

I set up an account for Tiarnan when he was 18 months, it's just a general savings account so it's not earmarked for anything in particular. I set one up for Cormac this last summer, right around his first birthday. DH and I take out a set amount of spending cash each week and any change leftover at the end of the week goes into thier shared piggy bank. Then when the piggy bank gets full enough we take the change and have the bank split it up evenly between thier accounts. I figure that we will decide what it is used for when the time comes, wether that's at 16 to go towards a car or 18 to go towards college. It will be a joint decision between parents and child, it's thier money so they should get a say in how it's spent.

 

[LilDreamy]

I set up an account for Tiarnan when he was 18 months, it's just a general savings account so it's not earmarked for anything in particular. I set one up for Cormac this last summer, right around his first birthday. DH and I take out a set amount of spending cash each week and any change leftover at the end of the week goes into thier shared piggy bank. Then when the piggy bank gets full enough we take the change and have the bank split it up evenly between thier accounts. I figure that we will decide what it is used for when the time comes, wether that's at 16 to go towards a car or 18 to go towards college. It will be a joint decision between parents and child, it's thier money so they should get a say in how it's spent.

WOW! It's funny you say this!
Because just yesterday someone gave me a rather cute piggy bank And I am doing the same. Any spare money I have at the end of each pay check and any change I accumulate I put in the piggy bank and am going to start putting that in the bank.

Smart idea, I like it!

 

[minichicky]

we have a general childs bank account which we put 10 per month in for Isaac started it on his first birthday when someone gave him a cheque in his name.
We wont generally put money in that hes given for birthdays and xmas etc as thats for him now I think. However we will prop transfer it all out before he can get his hands on it himself and waste it away
My mum had a bond for me which matured when I reached 16 however she still kept it for me and used it to buy my first car, this is something I would like to do.
As for university, I belive you dont have to pay all the fees etc upfront so hopefully well be able to afford this if/when the time comes and theres no way be be able to save 27k and upwards jus for one child, let alone any more, Id rather enjoy life up until then whilst they are children. Hey they may not even want to go to uni

 

[ellismum]

He has a Child Trust Fund which is worth about £400 at the moment. We also pay £10pm a month into a cash account that pays 6%. Once our finances get better we will increase this and pay into the CTF too.

My parents never saved for me so I had no cash lump sum and it never bothered me and I've managed fine without but I doubt things will be the same when Ellis gets to 21 like it was when I was 21!

 

[Mum2b_Claire]

We pay £10 per month into Ruby's CTF. That's all we can afford.

My parents never saved for me either but they were never especially short of money so within reason they would help me out financially when needed.

 

[LankyDoodle]

Yes we save and we will retain control until she is 18. She's 19 months and has about £500 plus the £250 trust fund from the govt in a different account. We started when she was a few months old.

 

[lisa9999]

We pay £40 a month into her trust fund xx

 

[Bexx]

We pay £50 a month into an ISA , though this will have to change as hubby has recently lost his job. The child trust fund money is sitting in its own account but we haven't been adding to that.

We're not necessarily saving for a big lump sum when Zachary is older, the money will also be used for making essential purchases if we can't afford them out of regular income (like school uniform or trips for example). Neither hubby or I have ever had savings for ourselves, so it's a bit of a luxury really.

We prefer to keep control of the account ourselves just in case Zachary wants to go a bit wild with his spending one day and blows it all on something silly!

 

[Noirin]

my parents set up an account for me wen i was small, it was in me and my dads name, i think wen i was around 12, my dad got me a bank card, then if i wanted to go to the cinema or theme park or anything i just went to the bank machine the money was always there,when i was 16 and 18 he cashed in some insurance policys he had taken out aswell and i got the money for those and went on holidays and got married i want somethin like this for zak, id be gutted if i saved loads up and then he blew it all in a week wen hes 18 or 21 lol x

 

[JASMAK]

My inlaws put a couple hundred away for each child for their birthday and Christmas, since they were born. I have a small savings that probably won't go far with three kids...it's $10 biweekly into a savings since Jasper was 1 years. No idea how much is there. Hubby and I already discussed that we will support our children with their post-secondary as much as we can and let them live free at home while going to school (there is a big university here). I do have Canada Savings Bonds...but so far they are our vacation money. lol