@.wealth.with.tom: Thinking of opening an investment account for your child instead of using an investment bond? Be careful whose name it goes in. Investment income earned directly by a minor can be taxed at penalty rates once it exceeds just $416—potentially reaching 66% on part of the income. Holding the account in a parent’s name may avoid the minor tax rules, but the income and capital gains are then generally taxed to the parent, and transferring the investment later could trigger CGT. There’s no universally “best” structure. The right option depends on your tax rate, investment timeframe, access requirements and who should legally own the money. General information only. Tax and investment rules are complex, exceptions apply, and this does not consider your personal circumstances. Consider obtaining personal financial and tax advice before investing for a child. #InvestingForKids #InvestmentAccount #InvestmentBonds #TaxTips #FinancialPlanning

Tom Lyon | Financial Advisor

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Wednesday 02 September 2026 01:32:32 GMT