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Image of a child holding a jar of coins with the text "Living For Tomorrow: How To Secure Your Children’s Financial Future"

Living For Tomorrow: How To Secure Your Children’s Financial Future

By Alex Pritchard


How would you like to ensure that your children live comfortably, even after you’re long gone? Sounds great, doesn’t it? 

However, the financial landscape is gradually shifting. Interest rates are on the rise and it will probably be much harder for the younger generation to retire comfortably. Fortunately, there are a few ways you can begin to secure your children’s financial future, even before they become of working age.

Instil the value of money

While much has changed over the years, basic human needs remain the same. People still need to leave school at some point, earn money, buy a house, get married and start a family – not necessarily in that order.

Most people in the older generation were able to meet these needs by saving, buying things outright and, in some cases, choosing not to have nice things in their 20s. While these sacrifices may have been a hard pinch, it came in handy as they grew older.

Every successful couple that managed to retire comfortably or early had these practices underpinning their financial lifestyle. Not financing their purchases wherever possible meant that they didn’t lose money on interest rates and were able to maximise their earnings. 

Some people may want to simply live for today rather than retire comfortably. That’s a personal choice. But as much as possible, it’s important to teach the next generation the core financial lesson of “living within your means and saving money.” To give them the choice to save and live comfortably when they grow older. 

Consider making long-term investments on their behalf

Wherever you can, try to save up money for your child. This could be in the form of junior ISAs, pensions or other long-term investments. 

Every child is eligible to have a junior ISA set up on their behalf. When they turn 18, it’s automatically converted to a standard ISA, and then they gain full control of it. You can choose to invest in cash, stocks, or a mixture of both.

Alternatively, you could also consider putting money into pensions to contribute towards their retirement.

Why it’s important to get them started early

Starting early with saving and financial planning can seem like a challenge or inconvenience. However, it gives people one less thing to worry about as they approach retirement.

That’s why it’s crucial to promote financial literacy among the younger generation, teaching them about interest rates, tax efficiency and the best ways to make their money work for them.

Beyond educating them, it’s part of our role as financial advisers to guide you towards making the best financial decisions for your kids. We’re here to help you make sure that your kids have something behind them as they come of age.

At the end of the day, it’s up to all of us as a society to ensure that the next generation gets it right. 

I hope this has been useful, and if you have anything else to add, I’d love to hear from you. To find out more about securing your children’s financial future, check out our podcast, A Dab Of Investment. You can also get in touch by emailing me at for more information.

The views expressed in this article are those of the author and do not constitute financial advice. Applewood Independent Ltd is authorised and regulated by the Financial Conduct Authority. For financial advice designed for you and your specific circumstances, please contact the author using the contact details provided in this article or, alternatively, contact the Applewood Independent Ltd office on 01270 626555.

The value of your investment can go down as well as up, and you may not get back the full amount invested.

Past performance is not a guide to future performance.