Investment for new grandchild

ATC110

I’m looking for ideas for a financial gift to a new grandchild circa €500, which won’t have tax implications for the child and the parents cannot access.

Would be grateful for any suggestions.

Raytown Rocks

open a credit union account in the child's name
Bang the money in there, then save a few quid every month
hand over said account when child is 18.

drunkmonkey

Get them €500 of Disney shares, you can get a Disney share certificate you can frame to hang up in there room.

DavyD_83

Prize bonds?
There is /was a thread around taking the returns on them.
Personally I have about 200 worth for last few years and haven't won anything at all.

B-D-P--

Ryanair shares pretty low at the moment!

dragonfly!

DavyD_83 wrote: »

Prize bonds?
There is /was a thread around taking the returns on them.
Personally I have about 200 worth for last few years and haven't won anything at all.

My grandparents got me some of these as a child
I won something small maybe €25 about 15 years ago and I won €50 just last week
Its nice to know that they are there if I ever want to sell them though

keithdub

I would go with the credit union when they get older they can put some of their own money into it will teach them to save

dingdong1234567

ATC110 wrote: »

I’m looking for ideas for a financial gift to a new grandchild circa €500, which won’t have tax implications for the child and the parents cannot access.

Would be grateful for any suggestions.

Have you consulted the child's parents?

heffo500

I wonder could you set up a degiro account in their name and purchase a low cost ETF, You would be doing well to beat inflation leaving it in the credit union but €500 invested now for say 18 years should do well.

BrokenArrows

It might sound a little out there and forward thinking but maybe setup a pension fund for the child.

€500 + 20% tax lift makes it a €600 gift.

1. It will mean a lot more over the life of the pension.
2. You can contribute to it occasionally over the years if you wish.
3. The kid will possibly have a better financial understanding and know the importance of a pension from an early age and may start contributing themselves once they start working. The parents could also add a little here and there.


I plan on doing this when i have a kid. Add a few thousand when they are born and add a bit throughout their younger years. If worst comes to worst in their lives at least they will have this safety net when they are in their elder years.

evolving_doors

BrokenArrows wrote: »

It might sound a little out there and forward thinking but maybe setup a pension fund for the child.

€500 + 20% tax lift makes it a €600 gift.

1. It will mean a lot more over the life of the pension.
2. You can contribute to it occasionally over the years if you wish.
3. The kid will possibly have a better financial understanding and know the importance of a pension from an early age and may start contributing themselves once they start working. The parents could also add a little here and there.


I plan on doing this when i have a kid. Add a few thousand when they are born and add a bit throughout their younger years. If worst comes to worst in their lives at least they will have this safety net when they are in their elder years.

Something like this or shares.
If it's readily convertible to hard cash the younglad might blow it all on a week in Ibiza once they hit 21.
Then again you should look at what's the best way of getting a future return on the money you have now/presently. If you're still working, your tax relief % is greater than his will initially be for a pension a few years down the line.

What's the gift tax band from relatives these days?

evolving_doors

BrokenArrows wrote: »

It might sound a little out there and forward thinking but maybe setup a pension fund for the child.

€500 + 20% tax lift makes it a €600 gift.

1. It will mean a lot more over the life of the pension.
2. You can contribute to it occasionally over the years if you wish.
3. The kid will possibly have a better financial understanding and know the importance of a pension from an early age and may start contributing themselves once they start working. The parents could also add a little here and there.


I plan on doing this when i have a kid. Add a few thousand when they are born and add a bit throughout their younger years. If worst comes to worst in their lives at least they will have this safety net when they are in their elder years.

Something like this or shares.
If it's readily convertible to hard cash the younglad might blow it all on a week in Ibiza once they hit 21.
Then again you should look at what's the best way of getting a future return on the money you have now/presently. If you're still working, your tax relief % is greater than his will initially be for a pension a few years down the line.

What's the gift tax band from relatives these days?

evolving_doors

BrokenArrows wrote: »

It might sound a little out there and forward thinking but maybe setup a pension fund for the child.

€500 + 20% tax lift makes it a €600 gift.

1. It will mean a lot more over the life of the pension.
2. You can contribute to it occasionally over the years if you wish.
3. The kid will possibly have a better financial understanding and know the importance of a pension from an early age and may start contributing themselves once they start working. The parents could also add a little here and there.


I plan on doing this when i have a kid. Add a few thousand when they are born and add a bit throughout their younger years. If worst comes to worst in their lives at least they will have this safety net when they are in their elder years.

Something like this or shares.
If it's readily convertible to hard cash the younglad might blow it all on a week in Ibiza once they hit 21.
Then again you should look at what's the best way of getting a future return on the money you have now/presently. If you're still working, your tax relief % is greater than his will initially be for hisa pension a few years down the line.

What's the gift tax band from relatives these days?