Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP Path: utzoo!linus!decvax!harpo!seismo!hao!csu-cs!silver From: silver@csu-cs.UUCP Newsgroups: net.invest Subject: Re: savings for children? Message-ID: <2322@csu-cs.UUCP> Date: Sun, 17-Jul-83 17:36:55 EDT Article-I.D.: csu-cs.2322 Posted: Sun Jul 17 17:36:55 1983 Date-Received: Mon, 18-Jul-83 10:22:30 EDT References: fluke.1021 Lines: 16 Nowadays there's something called the "Uniform Gifts to Minors Act". I don't know all the details but I know enough about it to be using it. You still pay taxes on your income, including any portion(s) given as gift(s), but your child pays the taxes (if any) on interest, dividends, etc. from the gift(s) once invested. The advantage is that you (actually, your child) can start earning "tax free" income now on money you'd like to give your child eventually anyway. As guardian of a gift account, you can withdraw funds from it if needed for the welfare of the child, but can be held accountable in court later. The account can take a variety of forms, from stocks to savings. Talk to a broker or account adviser for more information. Alan Silverstein, Hewlett-Packard Fort Collins Systems Division, Colorado ucbvax!hplabs!hpfcld!ajs, 303-226-3800 x3053, N 40 31'31" W 105 00'43"