For many parents, financial support for children is no longer a distant consideration. Education costs, helping young adults become financially independent and preparing for major life milestones can all move higher up the priority list. Taking stock now can help ensure your finances are ready for the years ahead.
Building on what you’ve started: savings and ISAs
By this stage of life, many families will already have some savings in place for their children. Reviewing what you have and whether it still aligns with your goals is a useful starting point.
Junior ISAs (JISAs) remain a tax-efficient option, allowing contributions of up to £9,000 per tax year, with growth free from Income Tax and Capital Gains Tax. While not everyone will use the full allowance, there may be more opportunity now to increase contributions where affordable. Both Cash JISAs and Stocks and Shares JISAs are available. When a child turns 18, their JISA converts into an ISA.
It’s still important to keep things realistic. Even with higher earnings, outgoings are often significant too. Regular, manageable contributions could work better than large, one-off amounts that are harder to sustain.
Investing – keeping things aligned
Many families already have exposure to investments, either for themselves or their children. This can be a useful time to review whether portfolios are still appropriate, particularly if funds may be needed in the next five to ten years.
The focus is often less on long-term growth alone and more on maintaining value while still allowing for some continued growth. Keeping things simple and aligned with your wider financial position remains key.
Education costs may be more immediate
Education costs may be at the front of your mind, particularly as decisions may already have been made or are approaching.
Private education continues to represent a significant commitment. On average, this can mean around £19,000 per school year for day students and £50,000 per year for boarders (wide regional variations), with additional costs often on top.
For those supporting children through university, tuition fees are £9,790 per year from August 2026, alongside living costs such as rent and general expenses.
At this point, planning often becomes more about funding and timing – ensuring money is available when needed, without disrupting your wider financial position. Even where provision is already in place, reviewing how these costs will be met can help avoid pressure later.
Pensions for children? A longer-term consideration
With your own retirement planning becoming more of a focus, contributions to children’s pensions may feel less of a priority. That said, where there is capacity, any contribution however small, can still provide long-term value. With tax relief and time on their side, children benefit significantly from early pension contributions.
As always, this should sit behind your own financial security, but it can remain a useful option for those looking to take advantage of longer-term planning opportunities.
Protection: reviewing what’s in place
Your financial responsibilities may now be at their highest, so ensuring appropriate protection is in place becomes even more important.
Existing policies, such as life insurance or income protection, may already be in place, but reviewing them regularly can help ensure they still reflect your current circumstances, income and commitments. It’s not about adding complexity, but about making sure your family remains supported if something unexpected were to happen.
Staying organised in a busy phase of life
Time is often one of the biggest constraints. Keeping finances organised and easy to manage can make a real difference.
That might mean:
- Reviewing plans annually
- Ensuring accounts are easy to track
- Adjusting contributions where needed.
The aim is to keep things clear and manageable, without creating extra pressure.
Finding the right balance
Planning for children financially at this stage is often about refinement rather than starting from scratch. To make sure everything is aligned, accessible and working as intended.
Taking some time to review your position can help bring clarity and reassurance. With support from your Finli planner, reviewing and refining your plans doesn’t need to be time-consuming or complex. It can be a straightforward step towards staying organised, protecting what you’ve built and supporting your children with confidence in the years ahead.
The value of investments can go down as well as up and you may not get back the full amount you invested. The past is not a guide to future performance and past performance may not necessarily be repeated.
