What do you intend to do with your DC's savings acct?

I was thinking about this today - DS's savings account
(like gift $$) - when weill I allow him access to it? Will I dictate how he has to spend it (a car, travel, etc.)? Will I make him use some to contribute to his own college fund?

Anyone else think about what it's for?

Re: What do you intend to do with your DC's savings acct?

i hope that we will save enough for her to put a down payment on a house or something. shes only a year and shes doing pretty good already!

Re: What do you intend to do with your DC's savings acct?

I was able to access mine when I graduated HS. I was 17.

I didn't DO much with it, but it became my money then.

Re: What do you intend to do with your DC's savings acct?

We have been saving for DSs college fund so I really hope that the $$ in his accounts will be there for him to have as college spending money. If he wants to travel during college that will be what his $ is for. If he does a semester abroad then we would discuss how much he would have to contribute.

DH and I have not discussed cars yet, but I did not get my first car until I was in graduate school and DH did not get his first car until well after we were married. At this point I don't think we will get DS a car when he is in high school. He can borrow ours. As for college - it will really depend upon where he goes.

My feeling on spending $ is that when a child is in high school or younger then they are my responsibility to feed, clothe, and give vacations. If the child wants something out of the ordinary then they can contribute towards its purchase. I think that a job in high school is extremely important to help develop a child into an adult. So spending $ can come from that. As for things like movies, dates, etc. he will be responsible for that once he is 15. I will provide a basic cell phone and a certain amount of minutes. Any overages will either be paid off by the child's savings or extra chores.

Re: What do you intend to do with your DC's savings acct?

We've only been able to put a little bit in it so far so right now the plan is to give it to her when she graduates HS.

Re: What do you intend to do with your DC's savings acct?

My parents gave mine to me when I was about 18. I only had about 2k but I went through that money fast. DS already has a nice amount from his Baptism. I don't plan on letting him touch it. I will allow him to use it towards a car or college. I don't want him to blow it on nothing which most 18 year olds will.
Maybe I will even keep it from him until he gets old enough and wants to buy a house or gets married. I know, I'm a mean mommy!

Re: What do you intend to do with your DC's savings acct?

Right now all of his gifts go into an ING savings account for him. I don't plan on giving it to him until college, or maybe even after.

When he gets older... Maybe 7 or 8, I will open up "his" bank account, one he will be able to access. Half of whatever gifts he gets will go into this, and half will go into ING. He will be able to pretty much manage his own money in this account.

Re: What do you intend to do with your DC's savings acct?

We have a 529 account for savings for college. All $$$ we receive goes to that fund..

I feel the 529 is the best way to save for college and you get a tax deduction also.

Every little bit helps because by the time my children go to college, college will be an absurd amount of money!!!!

Re: What do you intend to do with your DC's savings acct?

Right now the money that is being put away is for college I think.

Once he is old enough, and he starts doing chores and getting his own little stash of cash, we will put that in his own account and let him use it if he wants to buy something special I would imagine.

I haven't really given this much thought though so I"m not sure yet really!

Re: What do you intend to do with your DC's savings acct?

when they turn 18 it is there money to do with what they please, but if at 16 they decide that they want to use that money for a car, then it will be discussed.

as someone who worked in finance for many years, i would NOT put it into a 529.

Re: What do you intend to do with your DC's savings acct?

DS won't know about this money until we are handing it over, his name is not on the account and won't ever be. When he wants to buy a coop/ house or get married then it will be all his. he is not even a year and has a lot of money in it I can only imagine what will be in there by the time he is 25.

Re: What do you intend to do with your DC's savings acct?

It's there for him when he gets older or if he wants to something really important with it.

For instance. When I was in hs I wanted to go on a band trip to England. My parents couldn't afford it all so I sold as many fundraisers as I could and then I cashed in some of my bonds. I didn't have an account to use. Since bonds take much longer to mature now he won't really have that option. But, in that kind of situation I would let DS use some of his savings.

Re: What do you intend to do with your DC's savings acct?

Re: What do you intend to do with your DC's savings acct?

We only have a college account right now...and thats where ALL his money ( gufts etc ) will be going. At this rate, I cannot even fathom how much college will cost and so every penny is going there.

If for some reason he chooses not to go to college ( which would have to be a GOOD reason )....He can have the money for a car or down payment for house etc.

It is "his" money technically and I'm sure we would be lenient with it but I wouldnt want it used on just anything, because I did that with mine and all my cousins with theirs and I regretted it.

Re: What do you intend to do with your DC's savings acct?

She will not have access to the one account she has now. She won't even know about it. I plan on either giving her this money when she gets married or buys a house.

When she gets older and understands what money is, I'll start another account for her that she can have access to.

Message edited 8/26/2009 5:28:54 PM.

Re: What do you intend to do with your DC's savings acct?