New research by The Children’s Mutual, leading Child Trust Fund provider, shows that parents could face costs of up to £100,000 to fund their children’s career ambitions.
The annual ‘What I Want To Be’ poll – in which over a thousand parents were questioned about their children’s career aspirations – suggested that teacher, doctor and vet are the most popular job choice amongst five to seven year-olds. With the latter two potentially costing up to £117,000 in 18 years’ time, The Children’s Mutual has warned parents to start saving now.
But, with the recent news that The Child Trust Fund will be scrapped by January 2011, long-term saving may prove difficult for families who don’t plan ahead. According to The Children’s Mutual, 93% of parents with young adults are still funding their children – and experts do not expect this to change in the near future.
Natasha Terbraak of MyEggNest.com, said: “The cost of funding children’s education and training has not changed, and as the Child Trust Fund will see large reductions from as soon as 1 August this year, now is the time to look into other ways of saving in the long-term. Fortunately, with the right planning families can still benefit from the same tax-free savings the Child Trust Fund offers. Children’s Tax-Exempt Savings Plans and Unit Trusts for Children, for example, are great alternatives, and hopefully parents will look into these more and more as Child Trust Fund payments are scaled back.”
Child Trust Fund payments will see reductions from 1 August 2010, with the initial government voucher decreasing from £250 to £50. The top-up voucher normally issued on the child's seventh birthday will be halted completely. From 1 January 2011, no newborns will qualify for a Child Trust Fund.
Talk about this subject on our FORUM
Read more news in MyEggNest News Archives
Advertisements
Choose up to £25 worth of ethical gift vouchers or £15 worth and have a tree planted on your behalf when you set up a regular Direct Debit of £20 or more.
Press Play to view the video. If you're unable to view this, please click here to view it in a seperate player. For more information on Family Investments, please click here
Other Child Trust Fund Articles
Quick Overview of the Child Trust Fund
Detailed Explanation of the Child Trust Fund
Child Trust Fund and Child Benefit
Child Trust Fund Reviews
Compare Child Trust Funds
FREE Child Trust Fund E-Brochures
Child Trust Fund Webchat
Add Hundreds of Pounds to your Child Trust Fund with FREE MONEY
Bookmark this page
What is Social bookmarking? Social bookmarking allows users to save and categorise a personal collection of bookmarks and share them with others. This is different to using your own browser bookmarks which are available using the menus within your web browser. Click on the "Bookmark" link above to share this article on the social bookmarking site of your choice. Read more about social bookmarking at Wikipedia - Social Bookmarking
MyEggNest's Recommendations
CTFCashback
Boost your children and grandchildren's Child Trust Fund and Children's Savings. MyEggNest is proud to team up with CTFCashback - an online rewards programme that pays you in cash, to save for your children's future. Online Shopping can be a great way to purchase all your family's needs, especially if you have children or are expecting a little one. However, if you're looking for another reason to shop on the web, how does getting money back sound? With CTFCashback, you get just that. Full Details
Selected Retailers:
