20th October 2020

Saving for your child’s future

We understand as a parent so much time is dedicated to juggling and plate spinning. From general day-to-day tasks such as making sure your child is well fed, sticking to the bed and bath time routines and ensuring you spend enough quality time together. So thinking about saving for your child’s future isn’t always at the top of the to do list. 

Yet, saving for your child’s future is a very important prospect to consider, and can help set them up for a house deposit, driving lessons etc. Although investing and future planning can often be quite a daunting concept to many, the rewards down the line are well worth it!  Here at the Children’s ISA we offer a wide range of fantastic Junior ISAs to make saving for your children and grandchildren easier to understand, no fluff, no fuss, just straight to the facts.

If you are considering a Junior ISA or have only just discovered the term today, we’re here to help. To start you off, here are our fast, digestible facts and top tips on Junior ISAs. Offering you a quick overview of the most important elements to a Junior ISA. 

  • Similar to an adult ISA each child has a tax-free savings allowance that can be utilised for them for the tax year. This changes due to government guidelines each year, for instance this tax year 2020/21  ends on 5th April and the Junior ISA allowance is £9,000. 
  • Any UK resident child under 18 is eligible for a Junior ISA. If your child was born between September 2002 and the 2nd January 2011 will have a Child Trust Fund. This can easily be transferred into a Junior ISA to allow them to benefit from their own Junior ISA account. 
  • Any parent or legal guardian can open a Junior ISA. Once the account is open anyone can make contributions into it. To start you can open a Junior ISA with the Children’s ISA with a minimum investment of £10. We work mainly online, allowing for you to quickly and easily open an account with our online application. 
  • Diversify your savings. This is more simple than it sounds, we recommended that you spread your investments as this is the best way to spread your risk. It is also key to remember that not all types of investments move in the same direction at the same time.
  • Take your time. It’s important to remember that stocks and shares can go up as well as down, many customers make regular monthly contributions, meaning your money is added into the market regularly over a long period of time. 
  • Start with the end in mind. What are your saving goals? At the Children’s ISA we believe It is important to understand your goals, the amount of risk you are prepared to take, how long you have to invest for before you set off. Having a clear idea keeps your investment clear along the way. 

We hoped that helped you understand the main Junior ISA points to consider. If you would like to find out more, here is our extensive breakdown of the options we offer. 

© The Children’s ISA Ltd 2021. All rights reserved.

The website and the information contained therein should not be regarded as an offer or solicitation to conduct investment business in any jurisdiction other than the UK. Past performance is not necessarily a guide to future performance and the value of your investment may fall as well as rise, and any income received in the form of dividends may fluctuate. You may not get back the full amount when the account is closed. If paying regular monthly contributions please bear in mind that if contributions are not maintained you will be less likely to achieve the investment amount that was originally projected.

The information on this website is not advice, it is provided solely to enable you to make your own investment decisions. The investments and /or investment services referred to may not be suitable for all investors.

The Children’s ISA Limited is authorised and regulated by the Financial Conduct Authority. (FCA No: 563043)
The Children’s ISA Limited is a company registered in England and Wales. Registered Company Number: 07486015

Registered Office: 1 Lowry Plaza, The Quays Manchester, M50 3UB.
Trading address: Unit 2, Digital Park, Pacific Way, Salford Quays, M50 1DR