subject: Investment Plans for Kids,Helping Them Get Off to a Good Start [print this page] Investment Plans for Kids,Helping Them Get Off to a Good Start
Investment Plans for Kids,Helping Them Get Off to a Good Start.Bank saving plans are a great way to help your child to start a saving plan that will grow over time. The problem with a lot of savings accounts is that the money grows slowly and the only way to ensure that it will continue to grow at a steady rate is if the money is not taken out. The best way to make the money grow faster is to keep adding money to it. Savings accounts can be started in your child's name but with you as the primary account holder and for as little as $5 at some banks. There are also a lot of banks that have kids clubs in them and they will give out discounts to different clothing stores or amusement parks which can be a nice treat for your child.http://www.ixgw.com/ Best Financial Advice - Financial Planning | IXGW.com
Such plans as the 529 plan can be used to help pay for your child's college education. These investment plans will grow at a much faster rate than a regular saving account and are usually tax free. The 529 college saving plan also allows you to take money right out of your check to be added to this if your job will allow for it. The 529 college plan is a great saving plan to invest in and will defiantly help your child in their future.
When you file your taxes, ask about saving plans for kids that will allow you to put part of your tax return into it. This does not mean that you will or should put the entire amount in the saving plan to invest for later, but you should take advantage of anything that they are will to offer so that you can be sure your child will get off to a good start as an adult.
If you are unable to start a savings plan for your kid during the year, try to start one when you get your tax return. The tax return is usually given in a lump sum and even a small percentage like ten percent of it, will often not be missed. If you were to do this every year, by the time your child reaches adult age, they will have a nice little nest egg to help them pay for things like college.
Trust funds are also great to start for your kid but should be used wisely. A trust fund is like a savings account that can not be touched until a certain maturity date. The reason that you should use these wisely is if a certain event comes up, you may not be able to obtain the money. There are also some trust funds that will allow you to borrow from the money under certain conditions like a hospitalization occurs. If you are planning to start a trust fund, you should contact a financial advisor to see which trust fund would be best for you and your family.
Through these entire savings plan, it is always best to start one as soon as possible so that you can get the most out of them. Plan wisely and always plan smart so that you do not put yourself in a bind
