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 5^th 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 2^nd 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.