White Cotton Peonies

Building a nest egg for Mini-Me #middleage

05/05/2017 Comments Off on Building a nest egg for Mini-Me #middleage

I’m not grown up. I’m not grown up. I’m not grown up. Yes I’m married. Yes, I now have a baby… and yes, I have just bought a house… but I refuse to admit that I’ve grown up. I guess this is part of the reason that I’ve put off doing responsible things, like saving. When Bells came along, I knew immediately that I wanted her to have the best possible future. Living in an era where for the first time our generation won’t earn as much as our parents, I knew that I wanted to create a nest egg for her.

That was the intention and something I promised that I’d get around to… at some stage. But life went and got in the way…. And well all of the ‘stuff’ that she needs seemed to make saving a decent amount impossible.

When I heard about Moneybox for the first time, I knew it was the perfect solution for us. It’s the UK’s first Junior Stocks & Shares ISA (JISA) which can be opened using an iOS mobile app and with just £1. The only things that seem to get done nowadays are done using my mobile… usually as I’m trying to cradle an over-tired baby in the other arm. All hail the mobile phone.

The thing that I love the most about it is that you can save little and often by rounding up every day purchases to the nearest pound; meaning that you save without even noticing that you’re doing it. For example, when I buy my daily ESSENTIAL coffee (with an extra shot) which usually costs £2.40, the app rounds the purchase up to £3 and invests the 60p change into the JISA. Smart, huh? Investing by rounding up these small daily purchases can help to save up to £4,128 p.a. tax-free for when they turn 18.

There’s no dealing with scary stockbrokers in their stripey suits either yelling BUY BUY BUY, SELL SELL SELL… you can just choose which of the 3 investment options that best describes you and your saving choices– cautious squirrel, balanced owl or adventurous fox. Whilst I’d love to consider myself adventurous, it turns out I’m an owl. I’m kinda disappointed in myself! Each option allows you to invest in over 6,000 global companies including Netflix, Unilever and Disney via three tracker funds.

I downloaded the app last week and was up and running within minutes. At first Dickie was a bit dubious about us connecting our bank details to the app but I explained that they’d have a pretty difficult job rounding up our spare change otherwise! A bit of searching around later and I was happy to see that they’re authorised and regulated by the Financial Conduct Authority and covered by the Financial Services Compensation Scheme… Phew.

I’m currently giving it a whirl. I’m not going to lie, I had been asked by Moneybox to give it a go… I wasn’t just in the market for looking for a new financial app… as you do. But whilst I turned my nose up at the thought of trying something money related, as soon as I learned more about it, I loved the concept. Therefore, I’m going to report back in a couple of weeks to let you know how I got on – warts and all. My initial apprehension was that I might have a few more purchases than the ‘average’ person and so I might end up saving more than I can afford, but I soon realised that I didn’t have to round up every purchase and can dismiss purchases I don’t want to round up with a single swipe. I won’t be forced to live on Baked Beans after all.

You can find out more about Moneybox here or download it for free from the App Store for iOS.

M xox

NB: Whilst this is a sponsored post, I would by no way choose to write about it unless I truly believed that it was awesome and that I would use it personally anyway. Pinky promise!

I should also mention that with Moneybox, as with all investing, the value of your child’s investments can go up and down over time and you could get back less than you invest. The Junior ISA rules also depend on individual circumstances and the tax treatment is subject to change.

Melanie Kentish

Hi! My name's Mel and I'm a 30 something blogger living in Windsor, UK with my two ginger cats and a rather handsome husband. White Cotton Peonies is the place where you'll find my ramblings on health, fashion, beauty, food and my random adventures as a soon-to-be mum. Enjoy.