€3,000 annual gift to a child

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themetunegal

Registered User
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Hello,

I would be very grateful if someone could clarify the best mechanism for annual gifting of €3,000 to a child. In simple terms - is it that I should simply set up a dedicated account (savings / investment etc) and transfer €3k in there annually or keep a spreadsheet that details that I am gifting 3k annually to a child but leave it in with my own savings funds etc.

This is something that I would like to organise systematically so that, in the future, it is documented and hassle-free (for everyone). Is there a way to organise this retrospectively (the child is a few years old).

Also, we currently have the child benefit going into the state savings scheme as a savings mechanism. Does this impact the above in any way (i.e. if we also wanted to gift that in due course does it reduce the overall amount we can gift, or is it treated separately / differently).

I'd be grateful for any advice that could be offered in this context.

Thank you :)
 
Keep it simple & trackable.
A/C to A/C every January is the way to go or perhaps in their Birthday month.

Let's say you do it for 18 years, that 54k when they turn 18, you need to plan for this eventuality.
An 18yo getting their hands on 54k is a bad idea.
 
themetunegal said:
Hello,

I would be very grateful if someone could clarify the best mechanism for annual gifting of €3,000 to a child. In simple terms - is it that I should simply set up a dedicated account (savings / investment etc) and transfer €3k in there annually or keep a spreadsheet that details that I am gifting 3k annually to a child but leave it in with my own savings funds etc.
Click to expand...

It's not a gift if you keep the money.


themetunegal said:
This is something that I would like to organise systematically so that, in the future, it is documented and hassle-free (for everyone). Is there a way to organise this retrospectively (the child is a few years old).
Click to expand...
Do you really want sometime around 2035 to have a 15 or 16 years old with €30,000-€40,000 at their fingertips to spend or waste as they wish?
 
Ravima said:
Buy prizebonds and don't let them know, till you decide to tell them!
Click to expand...
Not a good idea if the investment term is more than a few years. Some shares or a low charges unit linked fund would probably be a much better idea.
 
Also, with anti-money laundering protocols to the fore, I doubt if it's possible to buy any sizeable sum in prize bonds unless they're recorded in the name of the owner, with appropriate identity documents being provided.
 
I doubt if it's possible to buy any sizeable sum in prize bonds unless they're recorded in the name of the owner, with appropriate identity documents being provided.

If you are genuinely gifting the money, then of course the bonds MUST be in the name of the child/grandchild. What I am saying is invest but don't tell the child/grandchild. All you have to do is 'intercept' the post. When the time comes that the child/grandchild needs the money, then they can cash in.
 
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