Baby Savings - options

markalanious

I'll be a first time dad in November (aww) and i'm thinking practically about saving for his/her future.

I've decided that i'll put whatever we get in Child Benefit (approx £80 per month?) into savings as we won't need it day to day.

I'd like the savings to be available for future big spends on the child, but not for random dippings like christmas presents etc. But mainly will be for university (i know right) tuition, school trips etc.

So, i'm open to advice and suggestion on the best place to put the £80 per month. I've looked on the child savings page on here but i'm not sure if it's more for kids than new borns etclo

atush

I would open a re:acct in your name (child as designee)with an investment trust savings plan. It would be the best place (rather than cash) to save over periods of more than 10 years. And you can sell some when you have spending for the child in question but the rest can grow until University.

jimjames

I do the same as Atush suggested. Links to look at:

http://www.fandc.com/new/it/Default.aspx?id=78401

http://www.invtrusts.co.uk/aam.nsf/investmenttrusts/investchildren

xylophone

Be careful of tax treatment if you are saving for your child outside a Jisa (which is tax exempt).
http://www.direct.gov.uk/en/moneytaxandbenefits/managingmoney/planningyourpersonalfinances/dg_10014128
http://www.hmrc.gov.uk/individuals/savings-income.htm