Infographic - Are you saving enough for your child's future?

Most parents hope that they will be able to help out their children financially in the future, but for the majority of people they will only be able to achieve this with a savings plan in place that starts well before the money is needed. Recent research from money.co.uk has shown that parents need an estimated £259,000 to cover the expenses of raising a child. It's a daunting total, but by focusing on a specific future goal to save for it's easier to think about how much money you need to be putting aside to cover the cost. 43% of those parents surveyed said that they would consider opening a savings plan for their child, of which 35% could afford to put aside £50 a month.

Having been very lucky to receive financial support from our own parents, my husband and I know that we'd like to do the same for our children. Parents that are saving for their children have some ideas about how they would like their children to spend that money. Of those surveyed, 32.8% would like the money to go towards a house deposit, 10.4% towards their first car and 20.7% towards University fees, with 36.1% having other goals in mind such as a wedding or a round the world trip. Personally I'd prioritise the University fees and a house deposit - I'd expect them to save up themselves for travelling around the world!

There are lots of different saving options, for example a Junior ISA, where the capital growth is tax free and friends and family can also contribute on behalf of the child. You can see the average costs of some of these expenses in the infographic below, and there is also a simple calculator to work out how much you need to save each month, and over how many years, in order to reach your saving goal.

Have a look at the infographic below to see - are you saving enough for your child?

This is a sponsored post. Statistics are approximate and are based on research carried out in 2016. Sources for the research can be found at the bottom of the infographic.