4 Questions

Try to answer the following questions in your head before looking at the answer. Gentle warning – some of them could make you a little uncomfortable.

QUESTION 1:
How much interest can you earn in a standard savings account in your child’s name before you have to pay tax on it?

ANSWER 1:
You can earn up to £100 interest in your child's savings account before you will have to pay tax. Anything over this and the Treasury deems it to be your money, rather than your child’s and that you are simply sheltering it from tax. There are alternatives though, and choosing the correct savings vehicles is one aspect but if it is not set up correctly then the tax man may still take his slice. Whether this is via income tax, capital gains tax or inheritance tax the Chancellor can grab a slice of it but all these taxes can be avoided with careful planning and good financial advice.

QUESTION 2:
Who would be the legal guardian of your children if you and your partner were to die unexpectedly?

REVEAL THE ANSWER HERE