[ELH05]

When DS was born, we opened a savings account and have deposited money weekly into the account. Have been thinking about the account and what the money should ultimately be used for ? initially the thought was that we would deposit money every week and the money would go to him when he was much much older to assist with a large purchase I.e. first car or maybe when he turns 18 for a house deposit (yes I'm thinking really long term!). But now I'm thinking should it be used to help pay for school fees as we are thinking about sending him to a to private school....

What is your intention with your kids savings accounts?

[CupOfCoffee]

My son has access to his account when he leaves grade 12, he can use it for travel, a house, or for HECS. He is not allowed to spend it on clothing, a car or a new gaming system.

I actually expect that he will spend it on travel for a year, which I am encouraging. (He is entering year 10 this year, so it isn't really that far away).

If I was saving for schooling, I would do that separately, but it depends on what you want to do (it is your money).

[Pooks*potters]

For us- To have some money aside to support him in his future... Such as private education, tutoring, going on exchange overseas, TAFE fees, a car to get to work and back, things like that. My parents used the money they had aside to pay for dental work for me which was a wonderful use of the money.

[BadCat]

I'll encourage my kids to use it towards a home deposit. I'm actually considering investing it in property for them at the moment. Between them they could probably pay the deposit and legals on a one bed unit, then the regular saving would go to any shortfall of rent against the mortgage.

I wouldn't personally use it for their education for two reasons. Firstly there is no way I would send them to private school. Secondly it's their money. And childhood expenses get paid out of my money not theirs.

But that is only my take on it based on our financial position and philosophy. You should obviously do what will suit your own family best.

[Jemstar]

I will encourage them to use it to set up house or buy a car or to pay for something else important to them (could even be an overseas trip) etc. What they ultimately do with it will be up to them, it is their money after all. If they choose to p*ss it up against the wall then that will be their loss and their lesson to learn.

[Ally'smum]

We are having the same thoughts.

Basically we have decided that it is money put aside to benefit DD, so that includes private school fees, travel, car, house, uni fees etc. It is not going to be a cash gift given in a lump sum, (for this reason it is also not in her name, although we should probably also open her an account as well).

I can't think of anything that would benefit a child more long term than a good education, so I have no problems spending it on that. There may be health or other emergencies.

I don't see it as her money, but our money that we are putting away specifically to benefit her. I see no reason to give a child a large cash gift, but I would like to be able to help her with some things across her life.

[2anewme]

our will have access to it when they are 21 (given circumstances and maturity). It will not be used for a car.

it would be my hope that the money would be used as a deposit on a property or as fund for an overseas trip.

It is their money...however I am the gatekeeper for now.

[MrsLexiK]

DH and I were speaking about this the other day, I said I would like to put some money into an account $10 or whatever a week or forntight, for this baby. I said we could use it for a car, for him/her (which DH was not keen on, he got a part time job and brought his car he thinks our child should do the same) he didn't mind the idea of using it though to pay for sport fees/camps/dance stuff etc if our child showed a good interest in something - those things are expensive and do add up. I wouldn't do this with money that was given to them as a present though - that is their money and their money to keep. This money I is just money we are talking about putting away, we are not giving it to our child - yet.

[joolz]

Im putting a wee bit away for my two in an online account each fortnight. Id like to be able to give them some money in the future for a house deposit.
Overseas trips, well they can work at Safeway for a year and save for that themselves!!
Cheers,
Julia.

[SeaPrincess]

We have no particular plan, but I know when my cousin's DD wanted music lessons, they bought her expensive instrument. I imagine we might draw on it for something like that if we had to, or maybe school trips, otherwise it's just growing steadily. DH actually would prefer the money in our offset, but he doesn't transfer the money and can't access it, so he doesn't know what's in their accounts anyway.