Don’t get me wrong, I’m fully aware that it’s hard enough saving any amount of money for anyone’s future. Whether it be your own future, or your child’s. As a parent, we have and somewhat crave a good future for our children, and we wish that they have a better life than we possibly had. I think we have to do that to the best of our ability and as soon as we can. Here’s how:
1) Set up a savings account.
Obviously the most common of ways to save. If you go to a bank or building society on behalf of your child, you’ll get one set up in no time. A lot of these accounts are accessible until their 18, but you can choose an older age if you think 18 is too young. To be honest, when I decide to set up a savings account for Baby H, I’m going to keep the age at 18, but not tell her until she’s 21. I know some that can be accessed at an age as young as 7 so it teaches children to save from a young age.
2) Set up a junior ISA.
If your child was born before September 2002, or after January 2011 and under 18, you can set up a Junior ISA. You’ll be able to put as much or little money as you’d like. This can’t be accessed until their 18th birthday.
3) Set up a target.
Whether you decide to tell your child at the age of 18 or 21, think back to when you were that age, and what you’d want to have done with that money if you had it. Set yourself a monthly target of how much you’d put in there, and then every month, you’ll be a little bit closer to the goal.
4) Start early!
It’s common sense, the earlier you start, the higher the savings in yay many years. You could have thousands by the time your child is 18!
5) Save your Child Benefit if you don’t need it.
I always make sure I put the £20.70 away at least once a month. Even though I get paid that every week, I may need it some weeks just to buy nappies or Harlow’s milk (which is £11.50 a tub!). If I’m able to do it, I’ll save it for two weeks out of the month. It’s a great start if you don’t technically need it.
6) Stop spending on irrelevance.
I have a major sweet tooth, and there are weeks where I could buy £20/£30 worth of sweet items. It’s ridiculous when I think about it, and to be honest, quite embarrassing. So, I’ve decided to take a stand and keep it down to £5 so I can put £15/£20 into the savings account.