Surprising (financial) gifts for kids this year - FinGlobal Skip to main content

Surprising (financial) gifts for kids this year

By February 26, 2019January 26th, 2023FinGlobal

Surprising (financial) gifts for kids this year

February 26, 2019

Choosing a gift for children, especially if they are your own or your grandchildren is worth some consideration. One of the most valuable gifts you can give your child is a financial asset that will appreciate over the years – enabling them to enjoy it when they are older (and wiser). No matter whether you are living locally in South Africa or abroad, a financial gift for a child is always appreciated.


Financial gifts for kids



The first and simplest gift to give is money. The danger with giving money is that it doesn’t teach children anything and unless they are very disciplined they might be tempted to spend it rather than saving it. If you are giving a substantial amount of money to a child, consider giving the bulk of it to the parents to invest in a separate savings account and only giving the child a token amount to enjoy.


A savings account

Opening up a long-term savings account for a child is another possibility. You can make regular deposits into the account. You needn’t give the child access to the account, but advise them on their birthday/Christmas every year how much you have deposited into it. When they reach an appropriate age, you can give them access to the account and allow them to spend the money on an asset that will add value to their life – like a car!



Krugerrands make a wonderful gift. The child can see and touch it, but they can’t spend it and their parents can put it away carefully to keep for the future. Krugerrands are one of the easiest ways to own gold – which has held its status as an investment to have in times of global uncertainty. Krugerrands are also linked to the international value of gold, which means that the investment is protected from local currency volatility and devaluation and is therefore a true global investment that can be relied on. If the child in question is living abroad, a Krugerrand will also have great sentimental value as the child grows up and learns to appreciate their South African heritage.


Stocks and equities

Stocks can be a risky pick for a child’s gift, but if you choose secure blue-chip stocks that have shown consistent growth over the years, it can be a secure enough investment to give to a child. If you are gifting stocks to a child, ensure they understand how a stock works and how they can add value to the stock over time by buying more. Encourage them to follow the company they are now invested in and hopefully you will encourage an interest in financial investment that will grow over time.


A university/college savings account

Most countries have university/college savings accounts that you can open and contribute to over time. In many countries, these contributions are tax deductible. The wonderful nature of this financial gift is that you can rest assured that you are helping to secure the child’s future.


In case you are a South African residing or moving abroad and would really like to recognize greater approximately how you can maximise your finances through financial emigration, getting access to your South African retirement annuity and our tailor-made tax solutions for South Africans round the world, contact FinGlobal today.

Leave a Reply