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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

Original poster

does your cb get saved?

80 replies

NordicPrincess · 15/09/2010 11:00

On another forum some time ago a lady came on saying that she always saved her child benefit money into a savings account for her dc as it was their money and not for her to spend.

I found this quite strange that she was so against the idea of using it to help cover the rent/food/electric bill. All our money goes into one pot and the goes where ever it it needed.

Saying that I have never paid into my childrens ctfs either (dont trust them) and my children do not have any savings either.

Do you save for your children? when they are different ages how do you decide how much to each child?

I see cb as help towards raising your child, my child needs heating and food etc so that money can be used for these things...

any thoughts?

OP posts:
Original poster
NordicPrincess · 15/09/2010 11:31

i always buy shop own chopped tinned tomatoes or beans etc...they tast the same and cost a quater of the price.

in fact i dont know when i got so tight lol

OP posts:
maduggar · 15/09/2010 11:32

Pretty much rely on ours for bills & groceries!

maduggar · 15/09/2010 11:32

We have zero savings, the kids have about £30 each in their bank accounts!

bamboostalks · 15/09/2010 11:32

Tee2072 You cannot save money for your son into an ISA as you have to be 16 to open one.

I save cb and think that it is fine to do so. Feel no guilt whatsoever about claiming it.

anonymousbird · 15/09/2010 11:42

Our CB goes into the school fees pot.. which needs all the help it can get!

Remotew · 15/09/2010 11:42

I don't believe the excuse that it would cost more to administer means testing child benefit. I'm not that bothered either way tbh, taking it off the very rich won't mean more for families struggling.

Isa's aren't tax effective for non tax payers who can have a gross savings account.

I do save money for my DD, her paltry maintenance which is less than CB. Sometimes I go short of lip gloss and stuff like that so it's all to do with priorities.

claricebeansmum · 15/09/2010 11:48

We save ours as we are very fortunate.

How would you means test CB?

Household income - fair enough but if partner A works and partner B does not then if you are assessing CB on household income then you would also have to assess income tax etc on household income.

Individually - partner A works, partner B does not. Partner B claims.

Massively expensive to means test. Far cheaper to administer universally. Not necessarily means that it is right.

Mishy1234 · 15/09/2010 11:51

We save into our own ISAs and also into the LO's savings accounts. We don't specifically save the cb, but I suppose we do in a way since we put more than that away per month into their savings.

Tee2072 · 15/09/2010 11:52

bamboostalks obviously it isn't in his name. Its in my name. I just put his money into it. Did I really need to explain that?!?! It also has some money in it that belongs to my husband and I. The more money in it, the more it makes, the more we can take out when we need it for school fees etc.

FioFio · 15/09/2010 11:53

This reply has been deleted

Message deleted

2shoes · 15/09/2010 12:09

I use it to pay for stuff dd needs.
like food.......

she has savings, but that is money given to her by people, not the goverment

BaggedandTagged · 15/09/2010 12:10

"i would like to save at some point and i think when my son is 5 we will, i just dont know how to work out how much, id like to save for myself but am unsure of how to divide the savings between myself and my son."

Purely selfishly, I'd prioritise yourself on the basis that you will need them sooner (unless you fancy life on the state pension)and you can always use your savings to pay for things like Uni/ driving lessons for your son, but once the savings are in his name, they're his. He could spend it on Uni or he could waste it all on coke.

Once you're in a position to save, contact an Independent financial advisor (not one at your bank who can only sell their own products) and get them to talk you through your various options.

Remotew · 15/09/2010 12:24

I suppose they could means test it in a similar way that they do CTC, it wouldn't be that difficult e.g income of more that £100,000 no CB. It's all there in the tax system already.

Original poster
NordicPrincess · 15/09/2010 12:29

see i wouldnt put it in his name for the reason or id put my name on it as being in control of his access to it

OP posts:
allluckedout · 15/09/2010 12:39

We spend ours on food, school lunches, school clubs etc, whatever pops up in the week that needs buying/money. I have been known to buy a bottle of wine come Thursday evening with it though.
At the moment our combined wages just about cover rent, food shopping, utilities and the odd thing that the children need. i.e school uniforms. We only had a holiday this year as my dad kindly offered to pay for one (a caravan in cornwall for which I was extremley grateful)
If i could afford to save it for the children I would, especially with ds1 being 13 and university/driving lessons etc not that far in the future. My parents save money for the children each month, but i do feel guilty that we don't save anything at all. I already buy own label or value branded goods at the supermarket, don't have a car, walk everywhere so not sure what else to cut back on other than my one bottle of wine a week.
I know envy is evil but I can;t help feeling a little bit Envy at peoples ability to save regardless of income. and yes i do know thats a very silly statement to make.

tjacksonpfc · 15/09/2010 12:39

We use the cb for day to day things like food shopping. If we are lucky however and it arrives and we have money to spare that week we use it to treat the dcs to things they wouldnt otherwise have due to funds.

It works for us next year when hopefully we are in a better financial position then we will be able to save some of it for them.

wondersnuffle · 15/09/2010 12:47

I don't think it would be that hard or expensive to means test, if you qualify for tax credits you get it and if you earn too much for them then you don't.

Ours is used for day to day living expenses.

CardyMow · 15/09/2010 13:00

My DP is on a very low income, but the CB is always spent on the children. Either on clothes and shoes for them, after-school activities, christmas and birthday presents, or special days out like a train to the seaside/ going to the science museum etc. I did the same even when I was a lone parent on benefits. It's called child benefit for a reason - to benefit your children! It is possible, even on lone parent benefits, to pay your bills and feed your dc (just) without using the cb. We couldn't live without it, because there would be no money to replace the dc's clothes and shoes when they grow/ wear out without it, but it is used for their benefit, not for our bills.

The3Bears · 15/09/2010 13:07

Mine usually goes on clothes for ds or something for him. However I put some money in his CTF every month. Am going to set up a saving account for him next year to get used to him saving for himself. :)

familyfun · 15/09/2010 13:10

dp is on a low income and im a sahm, i use cb and tax credits for dds shoes, carseats, clothes, and the rest goes in her ctf.
just because we save some of the money doesnt mean it should be taken off us, we probably have less disposable income than many people but choose to save some for dd.

HRHPrincessReality · 15/09/2010 13:11

This reply has been deleted

Message withdrawn at poster's request.

GetOrfMoiLand · 15/09/2010 13:14

I give mine straight to dd as her allowance, and she spends it on crap.

GetOrfMoiLand · 15/09/2010 13:15

Sorry - just realised my last post could come across as flippant, not meant to offend.

Inertia · 15/09/2010 13:16

Ours goes into a separate account and is used to pay for specific things for the children - shoes, clothes, school uniform , gym club etc. We save for them as and when we can, out of our earnings.

androbbob · 15/09/2010 13:24

I use mine to pay for swimming lessons, dancing lessons, Brownies and for school uniform, shoes and the od bit of clothes if there is anything left. I take it out of the bank when it arrives and keep it separate from the remainder of my cash. DS is poorly done to at the moment as he doesnt have much to be spent on as he only does a £2 class per week!

Each to their own though, as everyones circumstances are different and I was not aware that there were any strings as to what the money could be spent on.