I know I’m already thinking ahead here…but I have this vision of us walking into the bank with the little one to open his or her first bank/savings account. Oh, and teaching valuable money lessons we’re going to teach the kid.
We’re just not quite sure on how to handle this whole thing. On the one hand I’d hate for the kid to squander everything we’ve saved for him or her when he or she is eighteen. On the other hand, that would be a life lesson and maybe we will have raised a kid wise enough to not squander that money.
The advantage of an account in the kid’s name is that, for example, grandparents can easily transfer money to the kid if they want to invest in the kid’s future.
What are your thoughts on saving money for your kid in their name?