You are here: Home - Saving & Banking - News -

What is a Junior ISA?

0
Written by:
03/09/2012
Junior ISAs are simple and tax free and any child resident in the UK who is not eligible for a Child Trust Fund (CTF - see below) can have up to one Junior Cash ISA and one Junior Stocks & Shares ISA.

Any child born before September 2003 and on or after after 3rd January 2011 is eligible.

Up to £3,600 can be invested in a child’s JISA(s) in total every year. Parents, grandparents, anyone with an interest in a child’s financial future can contribute to either account provided the total annual limit is not exceeded.

And the beauty is that there is no additional paper work. Tax forms do not need to be filled in for the child and the tax office does not need to be informed that a Junior ISA has been started.

And for those who do have CTFs, while the Government will no longer be making a contribution, they will function in the same way, albeit remaining separate.

At 16, the child assumes responsibility for the account, meaning that if they wish to transfer from one manager to another, it is within their power; and when the child reaches adulthood at 18, by default, the JISA turns into an ISA.

Tagged:

Tag Box

Debt

Pension

Spending

Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
2202434-george-osborne-uk-chancellor-exchequer
Monday newspaper round-up: Small business, ECB, China

George Osborne has made his latest bid to prop up the faltering economy by revealing plans to launch a small...

Close