Investing for the next generation
Most parents and grandparents want to help their children financially, whether it is making sure there is enough money for their education or eventually helping them to buy a property. An early objective as they grow up may well be to help children understand the value and importance of money.
This guide offers a brief outline of the basic tax and legal rules, and the investment products that are suitable for children to help achieve the goals set for them.
Investing for children – what is included in the guide:
• Setting specific investment goals
Looking at timescales and goals for your investments
• How children are taxed
Setting out the tax brackets and allowances for children
• Tax-efficient investments for children
Walking you through the most tax-efficient ways to invest for your children
• Personal pensions
Pensions can be an effective way to invest for your children
• Should you use a trust?
The long-term future benefits of setting up a trust
• Tax position of trusts
Detailing the tax allowances for children trusts