How are you setting your baby up for the future?
Like savings account, savings bonds, college funds, etc.
After I receive my tax money, I’m going to invest in some low risk mutual funds for my son and add money to it annually. I started my first low risk mutual fund before college and it has more than doubled (it’s only been 6 years). The rule of thumb with mutual funds is that they double or come close to doubling every 5 years. I also have an ING savings account for my son, which my husband and I deposited money into during my pregnancy and promptly forgot about when the baby was born. The interest rate there is higher than those at the regular banks. The APR is at 4.5%, compared to the 2% at my bank.
I have to add that my husband and I are far from rich and my son is only 7 months old, yet he has over $5,000 to his name already. It’s all about cutting a few corners and saving as much as we can. Investment is the best way to go, as long as you can manage to do it wisely.
Also, in regards to the post alone, my son has this money to his name on top of us saving up for retirement. The money isn’t meant to just to be handed to him, and yes, he will apply for student loans and scholarships, as I did in order to attend a $36,000 a year college for 4 years. I just like knowing that I can also provide financially for my son in case anything should happen (heaven forbid) and to teach him the importance of saving money in the process.
Top Producers Wanted for Ground Floor Business, Top Spots Plus Free Voicebroadcasting Account