I opened a custodial brokerage account for my son when he was 10. He understands how stocks and dividends work and gives suggestions for various purchases. Now when he gets extra money, a lot of time he gives it to me to invest for him. He will definitely be a millionaire.
I love this. just a little bit right now = loads in the future. We maxed out our one year old son's junior stocks and shares ISA this year with one of the products vanguard offer. If he never touched it until retirement it will be a fortune if all goes well. I made a video about it on my channel, if anyone is interested.
Ken please your advice is needed. My children Jnr ISA stock & share are loosing money (one lost almost £1300) due to Covid-19 I was told. What's your advice on this as I am in the process of moving the remaining funds into Cash ISA.
@@omotee5489 Hi Omo, I hope you don't mind me offering my thoughts here. Make sure you are moving it for the right reasons. If your children have many years to go before this ISA matures then you might decide you have plenty of time to let the stocks markets recover and thus will drive the value of your ISA back up again. Cash ISAs are offering very poor returns and by swapping your stocks and shares for cash you are locking in that loss you are talking about. I also have a jisa for my son and I'm just letting it be for the next 16 years. Everyone's circumstances are different however and I'm not a financial advisor. If you are unsure what to do you should really speak to a professional.
Been saving for my child since he was one. We get child benefit so all that money and what we put in goes in. My son is 8 and he already has £11000. ( More than I ever had in my twenties) Unfortunately the money wasn't being invested correctly as it was with a bank with falling interest rates. I have now open a stock n share jisa. Yes I do worry about him getting it at 18 but it's my job to educate him on finance and hopefully he be wise. Great video
@John Buffalo I am 97 No that is incorrect. Second child gets £13.70. Also if you or your partner earns £50000 or more you won't receive it but if you both earn £49999 you will. To my understanding
Wow can’t believe I didn’t know about any of this. I’m 44 with a 10 year old daughter. Yes sooner is better but at least if I start now for her and us it’s better than not starting! ❤ Thanking God for your channel!🎉
I have 7yr old and twin boy 4yr old. My daugther has nearly £7k in her JISa and my twins nearly £4k and I have been doing this since they were born and I wish every parents can take this steps in securing the future of their children. I have been doing this since they were born and I have no regrets. Many thanks Ken and to your beautiful wife becuase I have learnt alot of things on your channel - God bless and please co tune the good work.
I don't have kids and I don't plan on having kids anytime soon. However, this is such great information to know for when I am ready. Thanks for another amazing video :)
Great to hear that you're not rushing into having kids. It really does change your life in so many ways. Below are interesting articles to read: 1) The Real Cost Of Raising A Child thehumblepenny.com/the-real-cost-of-raising-a-child 2) The Real Joy Of Raising A child thehumblepenny.com/the-real-joy-of-raising-a-child
Very timely video as this is something my husband and I just discussed with our financial advisor! We currently have a CTF for my 9yr old and a Junior cash ISA for the other two kids but have decided to convert all into investment junior ISAs. We aim to pay in their child benefits and each contribute an extra amount to all three jISAs.
I started my kids CTF's from when they were born, I was lucky the government gave me money to start them off. My daughter is 15 my son is 9 I asked my kids if they wanted to cash them in at 18 or carry them on till 25. I was so proud when they both said to keep paying into them. I'm hoping they will keep paying into them once they start working and get into investing. Great advice!
@@TheHumblePenny Hi 👋🏾 Yes I've always told them that I'm saving for them, but only in the last few months have I started to explain how it works with the money I pay being invested in companies and saving for the things you want and debt etc. I use One Family it used to be called Bounty! I remember receiving the pack when I first gave birth and getting a certificate with £150 for my Daughter and €50 when my son was born. My daughters is worth 7k now and I only paid £20 a month for the first 13 years since she turned 13 I pay £50 I wish I could pay more but I'm hoping they will keep it going. I include them in my budget and give them an allowance to cover their needs so they are getting used to managing money. Trying to get them to think of side hustles too! Yeah I love your channel I'm always sharing your videos with my family members💖
Absolutely fantastic! And this is exactly why I’m 100% joining the academy. I’m fully committed to educating myself about finances at 30 but importantly making sure my children have this information now and do better than me. Great context as always
Excellent, Betty! Can't wait to see you in there. We'll be doing a major deep dive. There is only so much we can cover on TH-cam as these videos have to be short and we're struggling as it is to stay under 30mins 😆.
That’s super interesting and informative. We invest the kids pocket money. Our eldest one is 7 and she already knows about investing and today she told her little siblings: do you know you can make so much more money if you invest this £5? Small steps take a long way and always very excited when I “meet” like-minded parents. Well done guys! Just started following your channel and love it!
i love how many parents keep posting their experience and numbers.this motivates other parrents more than anything.thank you all and thanks for the videos.
I started a SIPP for my son when he turned 2 (now 4), investing the full £300 per month. My intention is to continue to invest on a monthly basis till he turns 18 and then just let the money continue to compound on itself until he retires. Based on a 7% net annual return, at 65 the SIPP will have a value of more than £2.5 million. Not a bad return on a total investment from me of just £46,080.
Careful. A JSIPP It may not be the best option in the long term. While it is tempting to think what 65 years of tax free compounding can grow into, as the laws stand at the moment you will likely run into lifetime allowance limits quite early if you start aggressively so early. This will also prevent them from being able to take full advantage of both employer matching and their own tax savings when they are of working age themselves, perhaps during their peak earnings years. Consider putting at least some into a J-ISA instead.
Van Dieu. The lifetime allowance is currently £1.055 million and rises each year with inflation. If this continues, assuming 2.5%, LTA shouldn’t be an issue. I’m not concerned with my son ever needing to contribute to a pension in his lifetime.
@@BENGRAHAM11 That's an admirable goal, but it needs to be balance with practicality and reality. Hopefully you son will grow into a productive member of the workforce. Suppose he earns a nice 6-figure salary but and his employer is willing to match 10%.. he would effectively be getting a 300-400% return on investment by contributing from his own salary at the marginal rate of tax and with employer match. But if he's already on track to meet hit the LTA then you are basically condeming him to pay 52% marginal tax rate. Yes, having a huge pension pot thanks to your dilligent parents early on in life is a nice problem to have, but it is still a problem nonetheless.
Hi Ken you are really kind and an honest person and your channel deserves to grow exponentially. Your children are very lucky to have you as parents. I wish l had started early as you, mine are 13 and 18 but it is better late than never. Thankyou for this video and you probably realised that l have subscribed to your channel.
Thank you so much for sharing your this. I never thought of invesdting for my children. After watching this video I have open an account for my children to secure the future and better than mine. Thanks
Great content Ken. I need to move away from the Junior Isa's x3 . Every time I see the statements it frustrates me but this is a real eye opener and time for change.
I was looking forward to this video. We started investing for our son recently he’s only four months old through our accounts but after watching your video we’re gonna open a sipp for him as well. Thanks both 🤗
I save £100 pm into a high interest account which then I'd transferred at the end of the year into a standard savings account but I'm considering a SIPP, JISA or trust. I was leaning towards the SIPP but advisor told me to bear in mind if child becomes a high rate tax payer, they may not thank me if I've used up most of their lifetime allowance meaning they cant get pre tax benefit of offloading. Currently about 1mil limit including returns as part of that, as I understand it, but could change. I had never thought about anything like that as I'm from very humble background.
Thanks for this advice the humble penny information I am saving for my 3 children & would love to get them to invest thanks for sharing. I am really enjoying your free 7 day blog course
Thank you so much for this amazing video. I currently have an ISA for my daughter but I plan on opening a stocks and shares one for her and saving in there instead. This was just the information I was looking for. Thanks you
I'm going to start investing for my youngest today. My other two children are already over 18, even though I did not invest for them directly I saved more than 90% of their child benefit for them and now they both have over 10K each. If I had invested that over 18 years their funds would have been much more.
Is it easier / simpler to invest in a index fund instead of individual stocks ? Big thank you for the videos you create, keeping them easy to understand and interesting. 👍🏼
I'm sharing this video with all my friends. I'm yet to have my kids but I already have their future planned mentally and this is a great way to make it happen. Thanks a lot for all the valuable ideas in this video. Cheers!
Can you do all 3? And say you had £300 p/m to invest for them, could you split £100 into each investment strategy? And would that be beneficial, or better to go for one? Thanks Ken 👍🏻
You can do all 3. Although saying that, it's important to be aware of the limitations of each one whilst being aware of the ultimate purpose of each one e.g. Bare Trust being most useful for Tax Planning, etc.
This is great Ken I don't have kids yet but I will definitely be doing this when I have them, though my nephew is definitely young enough at 7 years old so I will discuss this with my sister and share your vid :)
Please I have 13 year old son and a 8 year old son and I have never invested for them before,please is too late to start investing? and please which type of investment is good for their age?
I have been saving for my son and my daughter since they where born. It's not a lot but we save what we can. So far I haven't invested but I've decided now where I'm going to invest the money and I have put a plan into place to do that this year. They are almost 5 and 1. I also have an easy access savings account where I put birthday, Christmas money ec
@@TheHumblePenny I have finally taken the leap and invested a chunk of the children's saving. The remaining I will drip feed that in through the year. For me taking the plunge financially is hard. I received zero financial education from my parents. In fact they are terrible with money always had debt (they had their house repossed a number of years ago also). So for me educating myself and raising my children with good financial foundations is essential
I’ve started investing money into my child’s pension as it gives me assurance it’s not going to be taken out at 18 to pay for a holiday. It gives me assurance that if life doesn’t quite turn out the way she hoped it would be financially she’d have some back up funds on retirement. Time is what she has to allow funds to compound and ride out the market …that’s my theory anyway
I think it's worth stating that our parents did not have the opportunity to invest for us. There was not the platforms or products around that was accessible to the average person on the street. Investing really for the masses didn't start until Margret Thatcher started selling off and launching stock sales. Eg selling B T. Ask sid TV ad. I agree however that it's a good thing if you can to do. Other note is that whilst one thinks their kids are going to be responsible at 18 ... Who knows they could blow it all on drugs, drink or something else. I do have concerns about handing over the large sum at 18. I have invested for my daughter and started a pension. She has more than I do currently. Which again is another lesson. We do need to think of ourselves first... To some extent
I've also got to say but your kids are still very young, you have no idea what they will turn into at 18. We all do our best and have faith in our kids, most do, but we do not know. I did not know my daughter was going to develop a mental health / neurological condition when she was 7 it wasn't apparent.
are you able to sell amazon for example and buy tesla? just trying to understand if we can take profits and reinvest in another stock in junior stocks is a?
Another fantastic video Ken, thank you. My children are the same ages as yours so feeling very inspired! Do you have a Junior S&S ISA AND a Junior SIPP for both your children? My children both have a cash ISA but the interest rates aren't good so I'm keen to explore these other options, thanks ☺️
Hi Sarah, Great to hear! 😀. Yes we have both accounts. I'd highly suggest getting at least one of them to start. Cash ISA value is destroyed by inflation. It's the silent assassin! You need your money working harder by being exposed to other riskier assets.
@@TheHumblePenny thanks for this. I will absolutely be looking into at least one of those options. I am keen for my children to have a solid financial understanding to stand them in good stead for their future, just such a shame I wasn't given this wisdom!!
Great video! Thankyou! My children has cash JISAs with NS&I 5k each but in their Vanguard S&S JISA only a few £. Should I transfer the cash JISAs to their vanguard JISAs? They are 10&12
Hello, would you suggest I take my children’s savings out from there bank savings account and put it all into a junior index fund and top it up each month?? Advise please.
It's most definitely earning below inflation in that savings account. Personally, I wouldn't leave a penny in a low earning savings account. I'd have it invested in equities.
Hi Ken your channel has continually changed my perspective positively in life. Keep bringing it on. I started saving for my kids in a Halifax jisa at 3%interest since last year. Now planning to move it onto a stock and shares jisa with aj Bell. Would you advice investing in funds or shares? Bearing in mind I have 4 jisa account with my 4 kids.
Hi David My pleasure! 😀 Move to AJ Bell is good although there remain other platforms that offer better pricing for a JISA. Long term, it's best to build a portfolio from funds. The more passive, low cost and global the better.
Hi, I am new to your block and also new to stock investing. Now In order to diversify my portfolio, I have been considering investing in wines. I an a wine drinker, but know nothing about investing in it. Please any tips on how I can best do this?. I intend to put 15% of my investments in to wines
Hi Felix We know nothing about wines specifically but know for certain that you need to understand the wine market and how one derives a return from it. You can buy specific wine stocks or ETFs as a starting point.
I’m 16 right now, 17 in April, I’ve got some money saved up from part time work and I’m looking into investment, what can I do to get into this. Thank you.
Hi, I just wanted to check maybe I am misunderstanding but it seems you are saying that a grandparent can put money in a bare trust and immediately it won't incur inheritance tax. That isn't correct is it, like with most gift it has to be given 7 years before death not to incur inheritance taxe?
Hi Rodney, Thanks. I realised later that that very point wasn't clear. Tax free elements are the current £3,000 per donor. Amounts above that get caught up in the 7 year rule. The main advantage with contributions coming from grandparents is that any gains or income will be taxed in the hands of the grandchild rather than the grandparent. I'll make this point clearer in the video notes.
Are. These scenarios based on the money being in a stocks and shares investment isa? What level of risk would it need to be set at low medium oor high xx
@@TheHumblePenny thank you so much. Wishing you and your family all the very best foor 2021. I'm a new subscriber today. Can't wait to watch more from you xxx
@@TheHumblePenny Would also be interested how you advise business owners to structure their finance. Most cap their salary/dividends at 12.5k+37k which makes it hard to actually fill a 20k ISA.
Great video, recently discovered your channel and have been binge watching from the very beginning. My children are 14,11,8. We pay small amounts into high street bank ISA’s which now have rubbish interest. Am I to late to start investing money for them instead? I also worry about them not having the same amounts when they each reach 18. What do people do to keep it fair or do you not worry about that?
Great content as usual 😀 funny that you made this video my childrens w8 Ben forms were finally filed yesterday after silly mistakes i made now I'm just doing my research into possible companies to invest in. I was going to open an account with Vanguard as we are currently using aj Bell but I'm unsure with regards to fees etc. Thanks for the information x
Do you have any recommendations on good Junior SIPP providers with low fees, who have you used? I’m keen to set one up but there does not appear to be as much choice of providers as you get with JISAs. Thanks for the informative videos.
Hi Ayo, Great question! I unfortunately cannot make recommendations like that as it's "Financial Advice". I will, however, be a lot more candid with folks in our membership community about many things. Feel free to check it out: thehumblepenny.com/FJAlist Please ONLY join the list if your long term goal is for Financial Independence. We're building a truly supportive Community and really only want the right people for the journey 😀
Chioma, kedu? You need to do it via an investing platform where you can buy shares. E.g. Hargreaves Lansdown, Interactive Investor, etc. We use Hargreaves Lansdown. If you're want to open a Junior ISA there, please use our referral link below: thehumblepenny.com/HLJISA
I’m 15 right now turning 16 in April. If I open a Vanguard account right now and put in like £200 a month and leave it until for like 10years will I have made a good amount of money ?
Hi Ken, I love your videos, what would you suggest for setting up my nephew, my younger sister has just had a baby and whilst I want to set him up with a JISA, I read that each child can only have one JISA, is this correct?
Good question. What are they charging you for a Junior ISA? Plus, they'll likely not have a large diversified range of products i.e. ETFs, Index Funds or single stocks. I'd say focus on costs and access.
I simply have a pie on my T212 account and add £25 a month going in for them. Will pass that cash over to (hopefully) their own T212 account when they're in their mid twenties.
Great video. Just concerned on the impact of fees on what I want to choose. These have such long term impacts on the potential gains for my kids investments. Just been reading and listening to work by Jack Bogle. I'm in Ireland so options arent wouldn't be as plentiful as in the UK.
Are you igbo? I have been saving my children child benefits from birth and put some money into their account. I'm building legacy for them. This junior sipp and bare trust sound interesting Thank you for this teaching. Please more information on bare trust
Are you currently investing for your children? How do you balance doing that whilst investing for yourself too?
I opened a custodial brokerage account for my son when he was 10. He understands how stocks and dividends work and gives suggestions for various purchases. Now when he gets extra money, a lot of time he gives it to me to invest for him. He will definitely be a millionaire.
That's AMAZING!! 😀
I love this. just a little bit right now = loads in the future. We maxed out our one year old son's junior stocks and shares ISA this year with one of the products vanguard offer. If he never touched it until retirement it will be a fortune if all goes well. I made a video about it on my channel, if anyone is interested.
Ken please your advice is needed. My children Jnr ISA stock & share are loosing money (one lost almost £1300) due to Covid-19 I was told. What's your advice on this as I am in the process of moving the remaining funds into Cash ISA.
@@omotee5489 Hi Omo, I hope you don't mind me offering my thoughts here. Make sure you are moving it for the right reasons. If your children have many years to go before this ISA matures then you might decide you have plenty of time to let the stocks markets recover and thus will drive the value of your ISA back up again. Cash ISAs are offering very poor returns and by swapping your stocks and shares for cash you are locking in that loss you are talking about. I also have a jisa for my son and I'm just letting it be for the next 16 years. Everyone's circumstances are different however and I'm not a financial advisor. If you are unsure what to do you should really speak to a professional.
Been saving for my child since he was one. We get child benefit so all that money and what we put in goes in. My son is 8 and he already has £11000. ( More than I ever had in my twenties) Unfortunately the money wasn't being invested correctly as it was with a bank with falling interest rates. I have now open a stock n share jisa. Yes I do worry about him getting it at 18 but it's my job to educate him on finance and hopefully he be wise. Great video
👏👏👏👏👏
Awesome result there! 😀
£82 a month
@John Buffalo I am 97 No that is incorrect. Second child gets £13.70. Also if you or your partner earns £50000 or more you won't receive it but if you both earn £49999 you will. To my understanding
Xxxxxxxxsxxxxx
Wow can’t believe I didn’t know about any of this. I’m 44 with a 10 year old daughter. Yes sooner is better but at least if I start now for her and us it’s better than not starting! ❤ Thanking God for your channel!🎉
Yes 💯
I have 7yr old and twin boy 4yr old. My daugther has nearly £7k in her JISa and my twins nearly £4k and I have been doing this since they were born and I wish every parents can take this steps in securing the future of their children. I have been doing this since they were born and I have no regrets.
Many thanks Ken and to your beautiful wife becuase I have learnt alot of things on your channel - God bless and please co tune the good work.
Omo, Amen to that! 😀. AMAZING seeing your progress! Onwards!! ✊🏽
That’s is great! It takes discipline to save and invest like that!
One of the reasons why i love this channel...factual information that can change your generational legacy!👌
😉✊🏽
I’m a little late for my children but I’m early for my grandchildren.
Yes!! Change the game for those grandkids! 😀
I'm in the same position. I'm starting now for 18 months old grand daughter.
I don't have kids and I don't plan on having kids anytime soon. However, this is such great information to know for when I am ready. Thanks for another amazing video :)
Great to hear that you're not rushing into having kids. It really does change your life in so many ways. Below are interesting articles to read:
1) The Real Cost Of Raising A Child
thehumblepenny.com/the-real-cost-of-raising-a-child
2) The Real Joy Of Raising A child
thehumblepenny.com/the-real-joy-of-raising-a-child
I'm doing it for my children and my children's children! Thanks for the guidance, Ken and Mary!
Love it! 😀
Very timely video as this is something my husband and I just discussed with our financial advisor! We currently have a CTF for my 9yr old and a Junior cash ISA for the other two kids but have decided to convert all into investment junior ISAs. We aim to pay in their child benefits and each contribute an extra amount to all three jISAs.
Good move! 😀
Can you adopt me?.. 🌚🤣
😆🤣🤣
🗣I was thinking da same thing 😅
@@TheHumblePenny loool
loool
😂
I started my kids CTF's from when they were born, I was lucky the government gave me money to start them off. My daughter is 15 my son is 9 I asked my kids if they wanted to cash them in at 18 or carry them on till 25. I was so proud when they both said to keep paying into them. I'm hoping they will keep paying into them once they start working and get into investing. Great advice!
Hi Michaela
That's encouraging to read. Have they always been aware of the CTF since they were much younger?
@@TheHumblePenny Hi 👋🏾 Yes I've always told them that I'm saving for them, but only in the last few months have I started to explain how it works with the money I pay being invested in companies and saving for the things you want and debt etc. I use One Family it used to be called Bounty! I remember receiving the pack when I first gave birth and getting a certificate with £150 for my Daughter and €50 when my son was born. My daughters is worth 7k now and I only paid £20 a month for the first 13 years since she turned 13 I pay £50 I wish I could pay more but I'm hoping they will keep it going. I include them in my budget and give them an allowance to cover their needs so they are getting used to managing money. Trying to get them to think of side hustles too! Yeah I love your channel I'm always sharing your videos with my family members💖
We appreciate you supporting the channel 😊💛
Absolutely fantastic! And this is exactly why I’m 100% joining the academy. I’m fully committed to educating myself about finances at 30 but importantly making sure my children have this information now and do better than me. Great context as always
Excellent, Betty! Can't wait to see you in there. We'll be doing a major deep dive. There is only so much we can cover on TH-cam as these videos have to be short and we're struggling as it is to stay under 30mins 😆.
That’s super interesting and informative. We invest the kids pocket money. Our eldest one is 7 and she already knows about investing and today she told her little siblings: do you know you can make so much more money if you invest this £5? Small steps take a long way and always very excited when I “meet” like-minded parents. Well done guys! Just started following your channel and love it!
Yay! Thanks so much for watching. Please share with others 😀
i love how many parents keep posting their experience and numbers.this motivates other parrents more than anything.thank you all and thanks for the videos.
I started a SIPP for my son when he turned 2 (now 4), investing the full £300 per month. My intention is to continue to invest on a monthly basis till he turns 18 and then just let the money continue to compound on itself until he retires. Based on a 7% net annual return, at 65 the SIPP will have a value of more than £2.5 million. Not a bad return on a total investment from me of just £46,080.
Careful. A JSIPP It may not be the best option in the long term.
While it is tempting to think what 65 years of tax free compounding can grow into, as the laws stand at the moment you will likely run into lifetime allowance limits quite early if you start aggressively so early. This will also prevent them from being able to take full advantage of both employer matching and their own tax savings when they are of working age themselves, perhaps during their peak earnings years. Consider putting at least some into a J-ISA instead.
Van Dieu. The lifetime allowance is currently £1.055 million and rises each year with inflation. If this continues, assuming 2.5%, LTA shouldn’t be an issue. I’m not concerned with my son ever needing to contribute to a pension in his lifetime.
Very interesting to hear you're doing this and using the full limit. Smart!
Good problem to have? I do like your JISA suggestion.
@@BENGRAHAM11 That's an admirable goal, but it needs to be balance with practicality and reality. Hopefully you son will grow into a productive member of the workforce. Suppose he earns a nice 6-figure salary but and his employer is willing to match 10%.. he would effectively be getting a 300-400% return on investment by contributing from his own salary at the marginal rate of tax and with employer match. But if he's already on track to meet hit the LTA then you are basically condeming him to pay 52% marginal tax rate.
Yes, having a huge pension pot thanks to your dilligent parents early on in life is a nice problem to have, but it is still a problem nonetheless.
Our child is 1 month and currently researching for our this in particular so glad I found this video.
Amazing 👏🏾. Share with others
Hi Ken you are really kind and an honest person and your channel deserves to grow exponentially. Your children are very lucky to have you as parents. I wish l had started early as you, mine are 13 and 18 but it is better late than never. Thankyou for this video and you probably realised that l have subscribed to your channel.
Raj, this means a lot to me. Wholeheartedly appreciate you supporting our channel 😊🙏🏽
Excellent timing! Just literally opened a JISA account for my 10 week old and 5 year old today. Can't wait to see how it grows for them
Excellent, Kayleigh! 😀
Thank you so much for sharing your this. I never thought of invesdting for my children. After watching this video I have open an account for my children to secure the future and better than mine. Thanks
Great content Ken. I need to move away from the Junior Isa's x3 . Every time I see the statements it frustrates me but this is a real eye opener and time for change.
You're most welcome, Jennifer :). Please share with others 😀
I just like the way he speaks!
😊
I was looking forward to this video. We started investing for our son recently he’s only four months old through our accounts but after watching your video we’re gonna open a sipp for him as well. Thanks both 🤗
Good move!😀
Is there an update on this video??
Thank you. Just what im doing now.
💪🏾💪🏾
I save £100 pm into a high interest account which then I'd transferred at the end of the year into a standard savings account but I'm considering a SIPP, JISA or trust. I was leaning towards the SIPP but advisor told me to bear in mind if child becomes a high rate tax payer, they may not thank me if I've used up most of their lifetime allowance meaning they cant get pre tax benefit of offloading. Currently about 1mil limit including returns as part of that, as I understand it, but could change. I had never thought about anything like that as I'm from very humble background.
Interesting share :)
Sipp or jisa which one would you choose
Great video, its so important that people realise the important of this. Thanks for taking the time to do it.
Cheers, Clifton :)
Thanks for this advice the humble penny information I am saving for my 3 children & would love to get them to invest thanks for sharing. I am really enjoying your free 7 day blog course
Excellent! Please leave us a review as indicated on day 7 😀
Perfect, I'm starting in my investing journey, makes sense to do it for my children and share the knowledge. Thank you so much for posting this. ❣️
Great Video. Thank you so much for sharing your Great Knowledge and hard work with us. 🙏
You're most welcome 😀
Good call! Thanks for giving me all the information I need to start helping my children have a better shot in the future.
You're most welcome! 😀. We believe strongly that we can all give the next generation a huge advantage by taking the leap now.
Thank you so much for this amazing video. I currently have an ISA for my daughter but I plan on opening a stocks and shares one for her and saving in there instead. This was just the information I was looking for. Thanks you
Knowledge is power👌. Thanks again for a great video saving for the next generation
Thank you, Janet 😊
I'm going to start investing for my youngest today. My other two children are already over 18, even though I did not invest for them directly I saved more than 90% of their child benefit for them and now they both have over 10K each. If I had invested that over 18 years their funds would have been much more.
Welldone for saving over 90% their child benefit. That's excellent!
This is such a good video (again)...i've shared this with all my friends. We have an ISA, and deposit some money monthly into an index tracker!
Edward, huge appreciation for sharing! 😀👊🏼
Thx ken whats best stock to buy for junior isa just opened 1 for my gal should i buy sp500 or life strategy 20 /80
Is it easier / simpler to invest in a index fund instead of individual stocks ?
Big thank you for the videos you create, keeping them easy to understand and interesting. 👍🏼
Easier and Simpler to invest in either. But index funds is less risk :)
Amazing video!!! I'm late to the party as far as your channel but I'm a certified fan!
Much appreciated 😊🙏🏽. Please tell us others about our work
I'm sharing this video with all my friends. I'm yet to have my kids but I already have their future planned mentally and this is a great way to make it happen. Thanks a lot for all the valuable ideas in this video. Cheers!
Really appreciate that! 😀
Can you do all 3? And say you had £300 p/m to invest for them, could you split £100 into each investment strategy? And would that be beneficial, or better to go for one? Thanks Ken 👍🏻
You can do all 3. Although saying that, it's important to be aware of the limitations of each one whilst being aware of the ultimate purpose of each one e.g. Bare Trust being most useful for Tax Planning, etc.
My kids have a few k saved at age 9 & 11 but it's sat in a bank account doing nothing.. i need to look into this junior isa thanks for the info!
Do it ✅️
This is great Ken I don't have kids yet but I will definitely be doing this when I have them, though my nephew is definitely young enough at 7 years old so I will discuss this with my sister and share your vid :)
👍🏼👍🏼😊
Please I have 13 year old son and a 8 year old son and I have never invested for them before,please is too late to start investing? and please which type of investment is good for their age?
What does HL stand for? I see that the name of the ISA is HL Junior stocks and shares ISA but I don't know what HL stands for
Hargreaves Landsdown
I have been saving for my son and my daughter since they where born. It's not a lot but we save what we can. So far I haven't invested but I've decided now where I'm going to invest the money and I have put a plan into place to do that this year.
They are almost 5 and 1.
I also have an easy access savings account where I put birthday, Christmas money ec
Lindsey, welldone! 😀. It's very important to take that leap and invest. It really makes all the difference over time.
@@TheHumblePenny I have finally taken the leap and invested a chunk of the children's saving. The remaining I will drip feed that in through the year.
For me taking the plunge financially is hard. I received zero financial education from my parents. In fact they are terrible with money always had debt (they had their house repossed a number of years ago also). So for me educating myself and raising my children with good financial foundations is essential
Great video thanks. Really helpful. I've been investing for myself. Will now start investing for my kids.
Great to read this, Ophelia! 😀. The fact that this video is helping you take action has made it worth all the effort.
I’ve started investing money into my child’s pension as it gives me assurance it’s not going to be taken out at 18 to pay for a holiday. It gives me assurance that if life doesn’t quite turn out the way she hoped it would be financially she’d have some back up funds on retirement. Time is what she has to allow funds to compound and ride out the market …that’s my theory anyway
Thanks for sharing this child investment educative video. I have learnt so much from your videos ever since I discovered your channel.
You're most welcome, Evelyn 😊. It's a pleasure to read that you're moving forward through our content.
I think it's worth stating that our parents did not have the opportunity to invest for us. There was not the platforms or products around that was accessible to the average person on the street. Investing really for the masses didn't start until Margret Thatcher started selling off and launching stock sales. Eg selling B T. Ask sid TV ad. I agree however that it's a good thing if you can to do. Other note is that whilst one thinks their kids are going to be responsible at 18 ... Who knows they could blow it all on drugs, drink or something else. I do have concerns about handing over the large sum at 18. I have invested for my daughter and started a pension. She has more than I do currently. Which again is another lesson. We do need to think of ourselves first... To some extent
I've also got to say but your kids are still very young, you have no idea what they will turn into at 18. We all do our best and have faith in our kids, most do, but we do not know. I did not know my daughter was going to develop a mental health / neurological condition when she was 7 it wasn't apparent.
I definitely agree. You need to think of yourself too. Very important
are you able to sell amazon for example and buy tesla? just trying to understand if we can take profits and reinvest in another stock in junior stocks is a?
Yes you can.
Another fantastic video Ken, thank you. My children are the same ages as yours so feeling very inspired! Do you have a Junior S&S ISA AND a Junior SIPP for both your children? My children both have a cash ISA but the interest rates aren't good so I'm keen to explore these other options, thanks ☺️
Hi Sarah,
Great to hear! 😀.
Yes we have both accounts. I'd highly suggest getting at least one of them to start.
Cash ISA value is destroyed by inflation. It's the silent assassin! You need your money working harder by being exposed to other riskier assets.
@@TheHumblePenny thanks for this. I will absolutely be looking into at least one of those options. I am keen for my children to have a solid financial understanding to stand them in good stead for their future, just such a shame I wasn't given this wisdom!!
Which platforms would you recommend for a Jisa?
What are the rules around investing when with child benefit?
No specific rules. You can invest your child benefit if you want 😀
Great video! Thankyou! My children has cash JISAs with NS&I 5k each but in their Vanguard S&S JISA only a few £. Should I transfer the cash JISAs to their vanguard JISAs? They are 10&12
Hello, would you suggest I take my children’s savings out from there bank savings account and put it all into a junior index fund and top it up each month?? Advise please.
It's most definitely earning below inflation in that savings account. Personally, I wouldn't leave a penny in a low earning savings account. I'd have it invested in equities.
@@TheHumblePenny I will 100 percent take the advise! Thank you for all the free and very informative content! You sir are a legend
Hi Ken your channel has continually changed my perspective positively in life. Keep bringing it on.
I started saving for my kids in a Halifax jisa at 3%interest since last year. Now planning to move it onto a stock and shares jisa with aj Bell. Would you advice investing in funds or shares? Bearing in mind I have 4 jisa account with my 4 kids.
Hi David
My pleasure! 😀
Move to AJ Bell is good although there remain other platforms that offer better pricing for a JISA.
Long term, it's best to build a portfolio from funds. The more passive, low cost and global the better.
Hi Ken,
May I know what company did you use to open Junior Isa for your children?
Vanguard and Hargreaves Lansdown
Yet another excellent video, full of honest and relevant information. Thanks for sharing your knowledge.
Fantastic content, thanks Ken for sharing.
Much appreciated comment, CK ROY! 😀
Great video. Thanks mate 👍🏼
You're welcome, Mark! 😀
My kids are 14 10 and 7..going to open a jisa for them.Thanks for the information
Cheers, Joy!
Thank you for your time and energy
You're most welcome :)
Hi, Nice and helpful video. Can I open a multiple junior SIPP accounts by investing the amount within the annual limit? Thanks.
Thanks :). You can. But why multiple Junior SIPPs?
Great vid. Can you do a vid on opening a junior stocks n shares isa account. 🙏
Hi, I am new to your block and also new to stock investing. Now In order to diversify my portfolio, I have been considering investing in wines. I an a wine drinker, but know nothing about investing in it. Please any tips on how I can best do this?. I intend to put 15% of my investments in to wines
Hi Felix
We know nothing about wines specifically but know for certain that you need to understand the wine market and how one derives a return from it. You can buy specific wine stocks or ETFs as a starting point.
I just dripped small amounts into stocks and shares ISA
I’m 16 right now, 17 in April, I’ve got some money saved up from part time work and I’m looking into investment, what can I do to get into this. Thank you.
Open an account?
Hi, I just wanted to check maybe I am misunderstanding but it seems you are saying that a grandparent can put money in a bare trust and immediately it won't incur inheritance tax. That isn't correct is it, like with most gift it has to be given 7 years before death not to incur inheritance taxe?
Hi Rodney,
Thanks. I realised later that that very point wasn't clear. Tax free elements are the current £3,000 per donor. Amounts above that get caught up in the 7 year rule. The main advantage with contributions coming from grandparents is that any gains or income will be taxed in the hands of the grandchild rather than the grandparent. I'll make this point clearer in the video notes.
@@TheHumblePenny thank you
Ever so informative as always.👏🏾👏🏾👏🏾👏🏾
Thank you, Margaret!
Whats better Child Trust Fund or Junior ISA? Can you transfer a child trust fund to Junior ISA?
Junior ISA.
Yes.
Just found out that you cant transfer Child Trust Fund into Vanguard Junior ISA which is a shame
Thank you so much for sharing your knowledge! Very useful information and mind opening. *New Subscriber* !!!
Are. These scenarios based on the money being in a stocks and shares investment isa? What level of risk would it need to be set at low medium oor high xx
Yes. Junior ISA or Stocks and Shares ISA. Medium to high risk.
@@TheHumblePenny thank you so much. Wishing you and your family all the very best foor 2021. I'm a new subscriber today. Can't wait to watch more from you xxx
Would be great to see a video on adult SIPPs and what you recommend? Vanguard have launched a new one...
Yup... noted
@@TheHumblePenny Would also be interested how you advise business owners to structure their finance. Most cap their salary/dividends at 12.5k+37k which makes it hard to actually fill a 20k ISA.
Great video, recently discovered your channel and have been binge watching from the very beginning. My children are 14,11,8. We pay small amounts into high street bank ISA’s which now have rubbish interest. Am I to late to start investing money for them instead? I also worry about them not having the same amounts when they each reach 18. What do people do to keep it fair or do you not worry about that?
Great content as usual 😀 funny that you made this video my childrens w8 Ben forms were finally filed yesterday after silly mistakes i made now I'm just doing my research into possible companies to invest in. I was going to open an account with Vanguard as we are currently using aj Bell but I'm unsure with regards to fees etc. Thanks for the information x
Nice! How old are your children?
Do you have any recommendations on good Junior SIPP providers with low fees, who have you used? I’m keen to set one up but there does not appear to be as much choice of providers as you get with JISAs. Thanks for the informative videos.
Fidelity SIPP
What mutual funds and indexes do you recommend!
Hi Ayo,
Great question! I unfortunately cannot make recommendations like that as it's "Financial Advice".
I will, however, be a lot more candid with folks in our membership community about many things. Feel free to check it out:
thehumblepenny.com/FJAlist
Please ONLY join the list if your long term goal is for Financial Independence. We're building a truly supportive Community and really only want the right people for the journey 😀
Absolute gold content!!!
😊💛
How do I invest in amazon and goggle for my son with the little money I keep aside for him please?
Chioma, kedu?
You need to do it via an investing platform where you can buy shares. E.g. Hargreaves Lansdown, Interactive Investor, etc. We use Hargreaves Lansdown. If you're want to open a Junior ISA there, please use our referral link below:
thehumblepenny.com/HLJISA
I’m 15 right now turning 16 in April. If I open a Vanguard account right now and put in like £200 a month and leave it until for like 10years will I have made a good amount of money ?
you cant own an account until you turn 18.
Hi Ken, I love your videos, what would you suggest for setting up my nephew, my younger sister has just had a baby and whilst I want to set him up with a JISA, I read that each child can only have one JISA, is this correct?
Hi Lucas!
Thanks 😀
You can have more than one but in aggregate, you can't contribute more than the annual limit.
I'm looking to invest in a junior isa for my kids within nutmeg. Is this a good ideas or should I be looking elsewhere?
Good question. What are they charging you for a Junior ISA?
Plus, they'll likely not have a large diversified range of products i.e. ETFs, Index Funds or single stocks.
I'd say focus on costs and access.
Enjoyed this, thanks
Thanks!
Thank you Ken ❤❤❤
I simply have a pie on my T212 account and add £25 a month going in for them. Will pass that cash over to (hopefully) their own T212 account when they're in their mid twenties.
We need a update on this video please
Great video. Just concerned on the impact of fees on what I want to choose. These have such long term impacts on the potential gains for my kids investments. Just been reading and listening to work by Jack Bogle. I'm in Ireland so options arent wouldn't be as plentiful as in the UK.
Thanks, Mike. We're big fans of Bogle and fees should be at the top of your priority list for sure. I think I'll make a video about this.
Bear in mind this video was made 4 years ago, do we get 8% pa returns now or a lot less? What is the interest rate returns currently?
Yes. Look at the returns of the S&P 500 for the last 12 months or 24 months, for example.
Great content, fantastic video.. I've taken action based on the info from this video. I have subscribed as well.
Brilliant 👏🏾. Do share with others 😀
This is so good 👍🏾
😉👊🏼
Brilliant
Thank you :). Please share with others
You may want to put sections in your videos so we can skip to what we are interested in.
Good suggestion. We do for all our videos over the last year or so. Older videos we're still to do 😀
Are you igbo? I have been saving my children child benefits from birth and put some money into their account. I'm building legacy for them. This junior sipp and bare trust sound interesting Thank you for this teaching. Please more information on bare trust
Yes 😊
So - as a parent, i can gift 100k to my parent, who then puts it in the bare trust for my children, thereby skirting the 7 year rule?
I like to have one on one chat with you pls
thehumblepenny.com/coaching
Except that a million pounds 54 or 41 years from now is probably gonna equate to how much 200k is worth today. Still better to invest.
And the sipp I was contemplating about opening one I will take this as a sign that I should lol
Haha 😉🤔
I sesssss