+ Reply to Thread
Page 1 of 2 12 LastLast
Results 1 to 10 of 20
  1. #1
    Join Date
    Jan 2008
    Posts
    8,245
    Thanks
    1,772
    Thanked
    2,017
    Reviews
    0
    Achievements:Topaz Star - 500 postsAmber Star - 2,000 postsAmethyst Star - 5,000 posts
    Awards:
    100 Posts in a weekBusiest Member of the Week - Most posts for the week ended 19/6/2014

    Default Kids bank accounts??

    It's been mentioned on here and have been told by a few people that you can have an account for your child that isn't linked to or considered your own for taxation and centrelink purposes.
    Is this really so? What banks offer such an account?

    I've got my kids a catalogue run so they can earn their own pocket money but from my understanding it will be considered my income as it will be paid into an account that i am linked to.

  2. #2
    Join Date
    Jun 2011
    Posts
    561
    Thanks
    886
    Thanked
    168
    Reviews
    0
    Achievements:Topaz Star - 500 posts
    I'm interested in finding out more about this also...

  3. #3
    Join Date
    Jul 2008
    Posts
    21,645
    Thanks
    15,089
    Thanked
    11,254
    Reviews
    14
    Achievements:Topaz Star - 500 postsAmber Star - 2,000 postsAmethyst Star - 5,000 postsEmerald Star - 10,000 postsRuby Star - 15,000 postsDiamond Star - 20,000 posts
    Awards:
    Busiest Member of the WeekBusiest Member of the Week - week ended 5/2/14Busiest Member of the Week - week ended 31/10/14Busiest Member of the Week - week ended 24/10/14Busiest Member of the Week
    Hmm I not sure to be honest. My kids have their own acc's. When my dd started working i was told her money didn't affect my payments until she turned 16. The system has since changed so i would check with centrelink.

  4. #4
    Join Date
    Nov 2008
    Posts
    14,057
    Thanks
    1,875
    Thanked
    2,608
    Reviews
    0
    Achievements:Topaz Star - 500 postsAmber Star - 2,000 postsAmethyst Star - 5,000 postsEmerald Star - 10,000 posts
    We have an account set up for each of our girls, but it is in no way linked with our personal accounts.
    I don't know exactly how it works with tax etc, but I do know there are limits as to how much we can put in in a month/year all up which I suspect has something to do with the whole tax side of things.

    It's a children's account through BankWest.

  5. #5
    Join Date
    Jan 2010
    Location
    Sydney
    Posts
    659
    Thanks
    241
    Thanked
    273
    Reviews
    1
    Achievements:Topaz Star - 500 posts
    I'm not 100% sure, but DS1 has an account with Bank West...the Kids Bonus Saver account. It's not associated with mine in any way, except that I transfer money in fortnightly from my account.
    I don't know if that's the same thing, though.

  6. #6
    Buttoneska's Avatar
    Buttoneska is offline Winner 2010- Most Community Minded Thread Award
    Join Date
    Jan 2011
    Posts
    5,677
    Thanks
    2,066
    Thanked
    1,981
    Reviews
    3
    Achievements:Topaz Star - 500 postsAmber Star - 2,000 postsAmethyst Star - 5,000 posts
    yep you certainly can, not sure what bank account it is called but investment wise you can set up an account in the name of a minor called a trust and act as the trustee to this account. There are still capitol gains to be considered for the minors,but it is not considered your money per say - you are simply the trustee.

  7. #7
    Buttoneska's Avatar
    Buttoneska is offline Winner 2010- Most Community Minded Thread Award
    Join Date
    Jan 2011
    Posts
    5,677
    Thanks
    2,066
    Thanked
    1,981
    Reviews
    3
    Achievements:Topaz Star - 500 postsAmber Star - 2,000 postsAmethyst Star - 5,000 posts
    oh and I think the parents/trustees pay the tax on the interest earnt but not 100% sure.

  8. #8
    Join Date
    Jan 2008
    Posts
    8,245
    Thanks
    1,772
    Thanked
    2,017
    Reviews
    0
    Achievements:Topaz Star - 500 postsAmber Star - 2,000 postsAmethyst Star - 5,000 posts
    Awards:
    100 Posts in a weekBusiest Member of the Week - Most posts for the week ended 19/6/2014
    yep you certainly can, not sure what bank account it is called but investment wise you can set up an account in the name of a minor called a trust and act as the trustee to this account. There are still capitol gains to be considered for the minors,but it is not considered your money per say - you are simply the trustee.
    This is the setup i have now but for centrelink purposes the money is still considered mine. I'm pretty sure the interest earnt on the accounts was passed on to the ATO as well and considered mine.

    I want an acount that is just the kids because it's genuinely going to be just their money.

  9. #9
    Buttoneska's Avatar
    Buttoneska is offline Winner 2010- Most Community Minded Thread Award
    Join Date
    Jan 2011
    Posts
    5,677
    Thanks
    2,066
    Thanked
    1,981
    Reviews
    3
    Achievements:Topaz Star - 500 postsAmber Star - 2,000 postsAmethyst Star - 5,000 posts
    really? I am not sure of all the details, but I work for a financial adviser and we have quite a few clients who have investements for their kids and isn't considered an income or asset with c.link.

    They are not with bank though, they are investments with like MLC, colonial first state etc. There named like this "Parent A and Parent B ATF <Child A and Child B Investment Fund/Trust Fund>". The children do not have TFN.

    I will ask the boss tomorrow technically what struture is it and let you know if you like. Then you could make enquiries about setting one up maybe?

  10. #10
    Join Date
    Jan 2008
    Posts
    8,245
    Thanks
    1,772
    Thanked
    2,017
    Reviews
    0
    Achievements:Topaz Star - 500 postsAmber Star - 2,000 postsAmethyst Star - 5,000 posts
    Awards:
    100 Posts in a weekBusiest Member of the Week - Most posts for the week ended 19/6/2014
    really? I am not sure of all the details, but I work for a financial adviser and we have quite a few clients who have investements for their kids and isn't considered an income or asset with c.link.

    They are not with bank though, they are investments with like MLC, colonial first state etc. There named like this "Parent A and Parent B ATF <Child A and Child B Investment Fund/Trust Fund>". The children do not have TFN.

    I will ask the boss tomorrow technically what struture is it and let you know if you like. Then you could make enquiries about setting one up maybe?
    That would be great if you could ask. Thanks heaps

    I bank with a credit union. I just had a look at a statement. It states that i'm the account owner and am trustee for the kids.


 

Similar Threads

  1. Different bank accounts for different Centrelink payments?
    By sunnymummy in forum Family Finances
    Replies: 1
    Last Post: 22-09-2012, 11:02
  2. Bank accounts.
    By Kayangel in forum Family Finances
    Replies: 42
    Last Post: 22-03-2012, 09:10
  3. Term deposit bank accounts for kids.
    By Babymay in forum General Parenting Tips, Advice & Chat
    Replies: 12
    Last Post: 16-01-2012, 19:58

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
free weekly newsletters | sign up now!
who are these people who write great posts? meet our hubbub authors!
Learn how you can contribute to the hubbub!

reviews
learn how you can become a reviewer!

competitions

forum - chatting now
christmas gift guidesee all Red Stocking
Bamboo Lulu
Super soft, fun prints & basics for baby, made from bamboo & organic cotton plus non-toxic wooden toys. • Hypoallergenic - perfect for eczema relief • Everything needed to shop for a baby shower • 10% off + FREE gift with purchase. Use code BUBHUB
sales & new stuffsee all
Pea Pods
Buy 2 Award Winning Pea Pods Reusable One Size Nappies for only $38 (in your choice of colours) and receive a FREE roll of Bamboo Liners. Don't miss out, we don't usually have discounts on the nappies, so grab this special offer!
Special Offer! Save $12
featured supporter
Cots on Bubhub
Looking to buy a cot or bassinet? :: Cot safety checklist :: Local or online nursery shops
gotcha
X

Pregnant for the first-time?

Not sure where to start? We can help!

Our Insider Programs for pregnancy first-timers will lead you step-by-step through the 14 Pregnancy Must Dos!