Q:

Is there such a thing as investments for kids?

A:

Quick Answer

Children can invest money in a Roth IRA if they earn an income. Children typically are unable to invest in other ways because most states limit investment accounts to individuals who are at least 18 or 21 years old, according to CBS News.

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Is there such a thing as investments for kids?
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Full Answer

Parents who wish to invest on behalf of their children can set up accounts under the Uniform Transfers to Minors Act or the Uniform Gifts to Minors Act, depending on the state. For these accounts, the child is the beneficial owner, and the parent is the custodian. The parent can transfer the account to the child when he reaches maturity, CBS News notes.

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