[Meghan]

I figure now’s a great time to invest in the stock market for my 2 year old.

I use Vanguard.

Do I make her a brokerage account in my account or do I make her an account all her own?

[Jule]

By law, minors are not allowed to have assets in their name. You’d have to open the account in your name as a custodian.

[Kassie]

You’d open an UTMA. Their name’s on it with yours and automatically transfers to them at 18

[Noa]

You’re adorable 2 year might become a bratty 18 year old. I wouldn’t open an account in their name.

Save in your accounts and provide financial help at your discretion throughout kiddo’s life.

[Sara]

If you’re in the US you can set up a custodial brokerage account.

I have one for both my kids with Vanguard.

My grandparents had done the same for me. Also, great place to gift stocks to them.

[Karen]

You could do an UMTA but I opted not to as they have access to it at 18.

I opened a brokerage account in my name and put them as the beneficiary.

[Karen]

Look at a 529. Stays in your control and doesn’t count as high for FAFSA percentage if in your name.

You don’t have to go with your state’s plan.

[Farre]

Depending on your country, you may be able to establish a trust fund with a guardian appointed over it until age 18.

[Author]

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