One would think that saving some money for one’s kids would be one of the easier things in life. And if one were just putting one’s money into a piggy bank, one would be right. But, when one can use interest to one’s advantage, one would be silly to ignore it.
As such, one can no longer think that saving some money for one’s kids is easy. In fact, it’s so darn complicated, convoluted and frustrating that I’m done with the talking about humankind in general!
There are four categories of complicated which you need to think about in the process of establishing savings for your child/ren.
- The best method of saving (term deposit, savings account, offset account etc)
- Dealing with Children’s Savings Accounts
- The Legal Stuff (Trust Funds, Tax and other Tedium)
- Teaching Your Child About Budgeting
The variables involved for all of these categories make it impossible for me to tell you the ideal solution for your situation. My plan, however, is to do what the banks don’t do and to guide you to a place where you can make an informed decision that best suits you and your child/ren.
If I have scared you with the complicatedness of all of this, don’t run away. I don’t want you to run away because paying attention to this post (and those related) could mean the difference between having $18,000 or $50,000 for your child when s/he turns 18 just by putting in the same weekly deposit of $20.
At this point, I’m going to send this post into four separate posts each linked to the category above. If you’re at the beginning stage of your research, take 15 min to read all four posts. Otherwise go where you mind says you need to go!