Saving for my kid

Patrick Thompson77 said:Since you're looking for that insurance component, you're really talking about life insurance products specifically!!!
As for how much goes to savings versus premiums... there isn't a simple answer to that. In the beginning, a bigger chunk of your money goes toward the insurance cost, but once you pass the halfway point of the term, more starts going toward the actual savings side. Honestly though, my two cents? It might be smarter to insure the person taking care of the happy child, but set the beneficiary as the kid. There's a much higher chance that something could happen to a parent, and then having those funds available to help the kid out is huge... Hope that makes sense—just remember that the kid won't be able to touch any of that money until they hit adulthood...

Thanks for the heads up.
So basically, those little "savings-only" plans like Tiger Theo or whatever are out.
What about recommendations for:
1. Accident/life insurance for one worker at roughly $67
per month. 2. A college fund/savings for a kid. Doesn't matter the timeframe, let's say around $67, though I'd love the option to dump in extra cash whenever.

The Mercury offers are everywhere, and honestly, I'm totally lost in all the fine print. 🙂

coastalmarlin64 said:What kind of setup would you guys suggest for saving up for a kid while throwing in some insurance coverage?
I’m looking at putting away roughly $67 a month, but the main thing is I want to make sure if anything happens to the little one, they're actually covered.
Hey, does anyone at USA have something like this in their portfolio?
I’m just having a hard time digging up the specifics—like, out of that $67 monthly chunk, how much is actually going toward savings versus how much is just paying for the insurance side of things?

Check out the Happy Child program over at Mercury Insurance. If you put in $67, about > would go toward savings and the rest covers the insurance. They actually offer three different insurance options, so you can mix and match to fit what you need.

coastalmarlin64 said:Thanks for the heads up.
So basically, those little "savings-only" plans like Tiger Theo or whatever are out.
What about recommendations for:
1. Accident/life insurance for one worker at roughly $67
per month. 2. A college fund/savings for a kid. Doesn't matter the timeframe, let's say around $67, though I'd love the option to dump in extra cash whenever.

The Mercury offers are everywhere, and honestly, I'm totally lost in all the fine print. 🙂

Just wanted to clear one thing up—life insurance and accident insurance are actually different. Accident insurance doesn't have a savings component and usually runs anywhere from $50 to $100 a year, whereas life insurance with a savings plan

coastalmarlin64 said:Thanks for the heads up.
So basically, those little "savings-only" plans like Tiger Theo or whatever are out.
What about recommendations for:
1. Accident/life insurance for one worker at roughly $67
per month. 2. A college fund/savings for a kid. Doesn't matter the timeframe, let's say around $67, though I'd love the option to dump in extra cash whenever.

The Mercury offers are everywhere, and honestly, I'm totally lost in all the fine print. 🙂

Tigar Teo provides coverage for both the child and the guardian... and it actually includes a savings component too... quite thorough, really...

Saving up is the way to go!

You might as well start making an argument for why it would actually be legal.

With the recent updates to family law, a huge number of parents have found themselves in a really awkward spot whenever they try to withdraw money from their child's account.
Basically, the law states that as a legal guardian, you're only allowed to withdraw up to $910-$310, depending on the specific bank and the kid's age. If you want anything more than that, you're forced to sit down with the ladies at the Department of Social Services and justify exactly what you plan to spend it on. Our experience was honestly pretty terrible because the social worker took it upon herself to "dig" into our private lives, asking all sorts of questions that had absolutely nothing to do with the actual request. In our case, we were dealing with funds deposited into the child's account as compensation for an accident. Because of that, I REALLY want to chat with anyone who is in this or a similar situation and is looking for a way to resolve the "problem" without having to go through the DSS. We actually managed to get part of the funds approved through the Department of Social Services, but we were able to withdraw the rest ourselves without any interference whatsoever. Feel free to shoot me a DM if you have questions. Cheers! 🤷🙂🙂 🙂🙂🙂🙂🙂

I spend my days closing out kids' savings accounts at the Chase.
All you need is a birth certificate, copies of the parents' IDs, a bank statement, and both parents have to sign the termination form. The funds get wired to the parents' account in a few days...

George Chavez2 said:With the recent updates to family law, a huge number of parents have found themselves in a really awkward spot whenever they try to withdraw money from their child's account.
Basically, the law states that as a legal guardian, you're only allowed to withdraw up to $910-$310, depending on the specific bank and the kid's age. If you want anything more than that, you're forced to sit down with the ladies at the Department of Social Services and justify exactly what you plan to spend it on. Our experience was honestly pretty terrible because the social worker took it upon herself to "dig" into our private lives, asking all sorts of questions that had absolutely nothing to do with the actual request. In our case, we were dealing with funds deposited into the child's account as compensation for an accident. Because of that, I REALLY want to chat with anyone who is in this or a similar situation and is looking for a way to resolve the "problem" without having to go through the DSS. We actually managed to get part of the funds approved through the Department of Social Services, but we were able to withdraw the rest ourselves without any interference whatsoever. Feel free to shoot me a DM if you have questions. Cheers! 🤷🙂🙂 🙂🙂🙂🙂🙂

We wanted to withdraw our child's savings after five years, too. We went to the DSS and the same bank a few times—mostly we had to get a pro forma invoice from a store to prove we wanted to buy a bedroom for the kid. Once they finally accepted it, we got the solution and withdrew the cash... but about a month later
I opened a new contract today at Bubi Spar for the kid, another five-year term, and I have to deposit $67 every month—though I can do more or less if I want. But after I finished everything, the lady handed me a receipt for $117 just to open the contract. Of course, I didn't realize that at the time. Does that money come back? And did anyone else run into issues withdrawing savings from Bubi Spar? Like, issues with the Department of Social Services or whatever? Should I cancel before it's too late?

I forgot to mention—I used part of that savings withdrawal to pay for a room, and then I took what was left and opened a new checking account over at Chase. I put a few thousand bucks in there to start. My paycheck actually goes into a different bank, but I set up an automatic transfer so they’ll pull $100 every month and drop it straight into this new Chase account. It’s basically acting as a little savings fund... does it even matter if it's technically for my daughter or just for all of us living here? Honestly, after that last disappointment with the savings account, I’d rather just set aside a bit every month into this new account and leave it alone. It doesn't matter if there aren't any incentives or interest rates—the main thing is that the money is accessible whenever I or my daughter need it via card, or whoever else in the house needs it. What do you guys think?

I handle Bubi Spar accounts. To set up a savings account, you just need both parents' signatures, the kid's birth certificate, and your IDs... simple enough.
As for that money you moved to your checking account, you really should've opened a dedicated savings account there to actually grab the interest and incentives.
That amount from $117 is just the initial setup fee. It could’ve been lower, but it's non-refundable.
Shoot me a DM if you have questions...

I really need some advice here!!!

A few years back, I came into a significant inheritance. I kept one portion in my own savings account, but I took about $33 and placed it into a dedicated savings account for my daughter (who is 7 now) and set it aside there. Since I’m a single mom living with my mother—and let's just say we aren't exactly on the best terms right now—I decided the smartest move would be to use those funds to finally build a house of my own. But here’s the catch: the laws have changed in the meantime, and now I’m being told I can't touch a single cent from my daughter's account until she turns 18. At that point,
the money becomes hers to access.
The reality is, I desperately need those funds to break ground on the house. My situation is pretty urgent; I’m essentially facing having to move out of my mother's place, and if I can't access this money, I’ll be forced into renting. Instead of investing our savings into building equity in a home, I'll be bleeding money on rent just to have a roof over our heads. So, my first question is: is the law actually this rigid? Is it truly impossible for me to access those funds under these circumstances?

My second question concerns the bank. Was Chase legally obligated to notify me about these changes in regulation? And more importantly, is there any actual ground for a lawsuit against them? It seems fundamentally logical that, as her legal guardian, I should have been kept in the loop regarding the status of the funds in my minor daughter's account, wouldn't you agree?

I would truly appreciate any insight you all might have!

Bank of America wasn't obligated to notify you about the change in legislation, since they aren't the ones who write the laws. As for accessing the funds, you can get to them, but only once you have a resolution from the Department of Social Services.

Do you think I can access the full amount at once, or am I limited to the standard $333 monthly allowance?

You can get $333 per month without needing approval from the DSS, but if you need anything beyond that amount, you have to request permission and wait for them to issue an official decision.

I’ve been scrolling through various comments lately, and it seems like quite a few people are claiming they’re running into massive hurdles with the DSS—to the point where, in some instances, accessing the funds feels practically impossible. Given my specific situation—building our shared home—do you think the process would actually go through smoothly enough for me to receive the full amount? And does anyone happen to have an idea of how long a procedure like this might actually take?

Here’s my take—and I could be wrong—but the DSS shouldn't give you much grief about withdrawing funds to build a house. It’s a massive upgrade to the happy child's quality of life, and at the end of the day, it stands as an asset for the future. You just need to lay out a solid argument for why the money is being pulled, but personally, I don't see this being an issue.

The real issue here is that the Department of Social Services creates massive hurdles for even the smallest things—like trying to get funding for a computer, for instance. I'm curious, has anyone else dealt with this kind of red tape lately?

Patrick Collins4 said:Bank of America wasn't obligated to notify you about the change in legislation, since they aren't the ones who write the laws. As for accessing the funds, you can get to them, but only once you have a resolution from the Department of Social Services.

But then, who exactly was supposed to keep me in the loop? The government? Someone has to take responsibility here, doesn't someone?

Nancy Chase102 said:But then, who exactly was supposed to keep me in the loop? The government? Someone has to take responsibility here, doesn't someone?

IGNORANTIA IURIS NOCET—ignorance of the law is no excuse.