Children’s Accounts

kids accounts money

Teaching kids about finances is a great way to help them be prepared for adult life. Concepts such as Spending and Saving are a good place to start. Marshfield Medical Center Credit Union is dedicated to helping our members of all ages. Below, find the resources available for kids at MMCCU!

RELATED: Local Credit Union Members Share How They Teach Kids About Finances 

 

Save, Give, Spend

Kids Savings Accounts

• Regular account listed under a child’s name
• Must be joint with parent/guardian until age 18
• Child allowed to access to transact an account
• Great way to teach children about managing finances!

Custodial Accounts

• Custodian assigned to manage funds on behalf of child
• Funds can be turned over to child at age 18; must be turned over at age 21
• In WI, established under Uniform Transfers to Minors Act (UTMA)
• Can be used for tax planning purposes*

Education Savings

• Set aside funds for schooling purposes
• No tax benefit (unlike Coverdell ESA or 529 account)
• Ultimately no restrictions on use of account

Coverdell ESA

• Comes with tax advantages* (check with a tax advisor for your specific circumstances)
• Save money for a child’s education expenses (tuition, fees, books, supplies, etc)
• Nondeductible contributions made on behalf of a child until the child reaches age 18.
• Earnings generated remain tax deferred while in the ESA.
• When the child uses the ESA assets to pay for qualified education expenses, the contributions and earnings come out tax free

Saver's Sweepstakes

• A prize-linked savings account offered by Wisconsin credit unions that lets consumers earn entries into drawings for cash prizes by
making deposits into qualified savings accounts.
• Available to minors with a parent/guardian permission

kids rewards club

This is a youth savings account designed to encourage good money practices at a young age. Anyone under age 18 is encouraged to bring a parent or guardian and sign up.

Each applicant will get a free piggy bank to start saving, as well as a punch card with prizes to be accumulated over time. Youth are rewarded for deposits, as well as visits to the credit union. There will also be other prize opportunities available to account holders throughout the year, including during the child’s birthday month and during International Credit Union Week.

Kids Rewards Club deposits earn a higher interest rate of 3% on deposits up to $2,500 until age 18, at which point the account is automatically transitioned into an MMCCU savings account.

Click here if you would like more information!