Savings for a Foster Child

[Alister84]

Hi everyone,

Myself and my partner are rapidly trying to catch up with the financial world open to todays young people. Unable to have our own children we decided to foster and to cut a very long story short, now have two amazing children who have been with us 2 years. They will both be with us until they decide otherwise and with everything else that needed sorted (it really did take two years) we are now at a point where we need to apply serious thought to their financial future to make the most for time lost.

We have been saving a small amount for them each month over the past two years which is now held in their own names, as for the first 20 months we were unable to open bank accounts for them.

Our main priority just now is our 16 year old who hopes to go on to uni/collage when the time comes (exam results on the 8th of August here in Scotland). We are now at a point where they have a decent amount (four figures) and our thought is to open a Help to Buy ISA in their name to take advantage of the 25% bonus when the time comes for a house purchase.

We will continue to save adding to this and from August, our 16 year old will begin to receive EMA (Education Maintenance Allowance). This is a payment of £30 per week for staying in Education. Part time employment will also further increase the balance with myself and my partner agreeing to fully support them financially allowing any money earned though employment to be saved for the future.

Looking for thoughts, ideas, opinions on the plan or even new suggestions as to how we can really make the most out of the relatively short time we have.

Much appreciated - and apologies for the long story!

Your plans sound wonderful i hope they appreciate what a lovely family they have ended up a part of i take my hat off to you , you are doing great things for these children

thanks Mymouthgetsmeintrouble!

Never sure if we are doing the right thing or not so your kind words are VERY much appreciated!

I think any savings no matter how small or large will be gratefully appreciated and shows the commitment to the children they are very lucky to have you

We have to save each month for the foster children in our care, and this is checked by our social worker at various stages. There is also,a leaving care grant.

Any savings I would ensure would be put aside until an appropriate age .

I think 16 is as good a place to start as any. I would agree that its a fine line and every child is different. I do feel we need to teach more about money and have it as an open topic with YP in care rather than budgets and funding be agreed behind closed doors and without the YP knowing.

I think I know about the leaving care grant Letitrain....thanks! The LA that our YP are cared for by talk about a "home start" or "white goods" grant......basically money for when they move on to independent living.

It may be different for you in Scotland, but we have to set aside amounts from our fostering allowance and put it into savings for the child, no matter what age they are. Even if a child is only with us for a few weeks we still have to do this. Our last foster child who is now 20 worked from 16 (apprentice), so we encouraged her to save a proportion of her wages. We still had to save the statutory amount each week and provide a clothing allowance even though she was working.

From reading the posts on here I'd agree that there seems to be a big difference between Scotland and the rest of the UK. I'd also say there is a difference between IFA and LA. Ultimately myself and my partner have autonomy over the YP in our care but this has come through working with our IFA social worker as well as the LA social worker for the kids. I have had many "challenging conversations" over the way we do something and the way a LA "think it should be done". At the end of the day we put the child at the centre of everything which is a massive part of practice here in Scotland; sadly, it doesn't always happen. If I can attend a meeting and justify why we did something then I am accountable and transparent. Were my FD my own child then she would have had her own bank account years ago. I remember going to the building society as a child with my savings book and having it updated, it was part of growing up, learning about money and how to save.

Its a massive conversation/issue and one we are not going to solve here on mumsnet but we can try ;)

We never had a problem opening an account, had too be up graded too
adult type of account as they got older, Now one 16 has his new PIP and mobility paid direct had too have a new PIP assessment which surprisingly was upgraded (contrary too public opinion). He now has complete control. No doubt the banks will be in touch in due course with too do this do that advice but he is no ones fool.