For the past decade or so it has been possible to set up children’s pension plans, providing parents with a perfect long term savings option that is not accessible to their kids during the heady years of college and their twenties.
Children’s pensions attract tax relief and are subject to the same rules as adult pensions, and cannot be accessed by the child until they turn 55. With 50 years or more to grow in the stock markets, the relatively modest investments of up to £2,880 per year by a parent today can grow into a very substantial nest egg as part of their child’s retirement planning.
Read Article : Children’s pension plans take centre stage to replace Trust Funds
