What is the no-tax limit for children's bank accounts? I need to open a bank account for DD as someone gave her a large gift of money, and of course we want to save for her. Should start a thread about it but keep getting distracted! Good luck with the big move!!!
According to this article, $416 per year. There are ways and means around it, but for her personal savings acct anything more than that and it is heavily taxed. Kinda sucks, really... I understand the need to prevent people from using their kids as a tax haven, but if you legitimately wish to have a savings account for your kid then what does it really matter if they get 4 or 5k a year?!?! Compared to the rest of what we earn it is pretty obviously not a lot... If we wanted a tax haven we'd be putting in a lot more than that!!

It means that if you want to put the baby bonus into an account for your baby, you get taxed at a stupid rate. Likewise if grandparents decide to kickstart their savings with a 1k or so boost, also taxed stupidly. For us, we were given a lot of cash for her at birth, and had decided all the spare coinage would go into her account. We did one lot of coins (and didn't even deposit her cheques that she was sent) and we're already over the threshold.

Thx for the well wishes on the move!!

Gotta dash - just got back from immunisation and she's not thrilled. She's hungry - wanted to wait until after needles to feed her so that I had a backup plan if she needed calming. Now she just needs feeding

waves to all!