Investment account for new born baby - No access until 21/25 (preferably 25)

AnotherJoe

Sea_Shell said:

AnotherJoe said:

Keep_pedalling said:

DiamondLil said:

I have six investment accounts with Charles Stanley. Each account is designated to one of my six grandchildren. These are straightforward investment accounts, so all tax is paid by myself.

This way I can choose when to give them the funds.

My will has instructions as to what I wish to happen to the accounts if I die before I've gifted the money.

In the event of your early demise what you wish to happen to the money and what your GC will be legally entitled to are likely to be very different things. Wishes in wills are not enforceable. 

We have funded JISAs for our GC and are happy for them to do as they wish with it when they reach 18. 40% of it would probable end up being waisted on IHT if we keep hold of it. 

That  seems like an overly strict interpretation of what DL said,  perhaps drawing too liberally on the use of the word "wish"?

If the will says GC1 gets investment account 1, GC 2 investment account 2, are you saying that wont happen?Or do you believe their will literally uses the word "wish" ?

Specifying an account each is great, right up until the point that you change platforms or account number and don't update your will!!!

Indeed it is. My previous will had a similar specification, eg to a particular fund. As I was changing my will anyway, and by then more than one GC, I've changed that now, the GC's get a specific portion of my estate (which caters for any new GCs), plus I'm also contributing to JISAs for them. But that does as you say, only deal with that aspect of a specific fund, and not the age.

chelseablue

What I do is I have a S&S ISA in my name. I have 2 funds in the ISA, one is mine one is my sons. 
That way I can hand him some or all of it when I choose too when he's doing something worthwhile like buying a house etc

Of course he could grow up and be a complete loser in which case I'll be keeping it. Hopefully not of course 

Albermarle

Of course he could grow up and be a complete loser in which case I'll be keeping it. Hopefully not of course 

Good to see some pragmatism

A lot of these threads about saving for children , see future family life through rose tinted spectacles, when it fact it can be a bit unpredictable, especially once the teenage years arrive .

pbartlett

not sure if its been mentioned but if you invest for them in your name, the money could be subject to 40% iht depending on your other assets.

The_Real_Cheddar_Bob

Albermarle said:

Of course he could grow up and be a complete loser in which case I'll be keeping it. Hopefully not of course 

Good to see some pragmatism

A lot of these threads about saving for children , see future family life through rose tinted spectacles, when it fact it can be a bit unpredictable, especially once the teenage years arrive .

I do not think I have rose tinted specs, but I assume your comment is in general and not specific to this thread. In my mind, I have no idea how the future will end up, but what I want to achieve is protection of said money as a just in case my son is like me and can't keep pound notes to himself when he turns 18. If he turns out to be a finance genius, he will understand the delay

ratechaser

The_Real_Cheddar_Bob said:

Albermarle said:

Of course he could grow up and be a complete loser in which case I'll be keeping it. Hopefully not of course 

Good to see some pragmatism

A lot of these threads about saving for children , see future family life through rose tinted spectacles, when it fact it can be a bit unpredictable, especially once the teenage years arrive .

I do not think I have rose tinted specs, but I assume your comment is in general and not specific to this thread. In my mind, I have no idea how the future will end up, but what I want to achieve is protection of said money as a just in case my son is like me and can't keep pound notes to himself when he turns 18. If he turns out to be a finance genius, he will understand the delay

Assuming any level of understanding or appreciation in a putative teenager is, frankly, a recipe for disappointment. 

I wish you luck in your journey of enlightenment as a parent 

Albermarle

The_Real_Cheddar_Bob said:

Albermarle said:

Of course he could grow up and be a complete loser in which case I'll be keeping it. Hopefully not of course 

Good to see some pragmatism

A lot of these threads about saving for children , see future family life through rose tinted spectacles, when it fact it can be a bit unpredictable, especially once the teenage years arrive .

I do not think I have rose tinted specs, but I assume your comment is in general and not specific to this thread. In my mind, I have no idea how the future will end up, but what I want to achieve is protection of said money as a just in case my son is like me and can't keep pound notes to himself when he turns 18. If he turns out to be a finance genius, he will understand the delay

It was nothing specific to you .

For example in a lot of similar threads, everybody seems to assume their kids will go to Uni as a matter of course . Many will of course , but some will not be able to , some will not want to , some will go and make a mess of it etc.
Children do not always live up to their parents expectations , and sometimes they exceed them . Can be a bit unpredictable .

JustAnotherSaver

Alexland said:

Sorry how would they withdraw the cash from the JISA before the child turns 18?

I would've thought that you can transfer from a Junior ISA to a regular ISA.

I must be mistaken.

In that event, it's still not difficult to invest for a child and then give them the money when they're 25, even if you have to give up J-ISA perks. Just stick it in a S&S ISA.

Regardless, I think the replies from some are detached from reality. They must've mixed with a different breed of teenagers to what I've ever known.

Here son, let's have a quick chat. Save your money, it's good for you.

...ok dad, i wont spend it on fast food or pee it down a drain I promise.

Good lad. *pat*

Honestly. What youngster isn't going to have blow outs as they're in their mid teens to even mid 20s. Ok there'll be some but to think 'educating them on the perks of saving' is going to stop it or even minimise it is just a fantasy.

AnotherJoe

JustAnotherSaver said:

Alexland said:

Sorry how would they withdraw the cash from the JISA before the child turns 18?

I would've thought that you can transfer from a Junior ISA to a regular ISA.

I must be mistaken.

A regular ISA in their name. Not yours.

Otherwise you'd literally be stealing ! Once its in a JISA its theirs.

Eco_Miser

JustAnotherSaver said:

.

Regardless, I think the replies from some are detached from reality. They must've mixed with a different breed of teenagers to what I've ever known.

Here son, let's have a quick chat. Save your money, it's good for you.

...ok dad, i wont spend it on fast food or pee it down a drain I promise.

Good lad. *pat*

Honestly. What youngster isn't going to have blow outs as they're in their mid teens to even mid 20s. Ok there'll be some but to think 'educating them on the perks of saving' is going to stop it or even minimise it is just a fantasy.

Who said anything about a 'quick chat'?

18 years of leading by example, and actual education, on the benefits of delayed gratification, OTOH.

You must know a different breed of teenagers to the ones I grew up with.