Junior ISA Calculator

Junior ISA calculator

How do I Use the Calculator?

Using our simple calculator, you can find out the estimated amount of the total growth of your account by entering the investment amount, length of time and the interest rate that your provider offers. To find out information on providers or search for a higher interest rate, check our tables.

How Can I Improve my Result?

• 1)Find the Highest Interest Rate – While this seems like an obvious point, many people allow their savings to languish in accounts which aren’t paying a great deal of interest. This is particularly true of accounts that once had attractive opening incentives but are now not working as hard as they should be. When you’re opening an account make sure you shop around to get the best deal possible. Use our comparison tables for latest interest rates and options.
  
  
• 2)Variable or Fixed Rate – Most Junior ISAs are available at variable rates of interest. Normal savings accounts tend to offer a fixed rate account if you tie up your money. The advantage of this is that fixed rate accounts tend to offer a higher rate of interest in exchange for tying up your money. You would then lose the tax-free wrapper, however. Some account which offer a fixed rate Junior ISA include: Halifax, Santander, TSB, Nationwide. See our charts for more details.
  
  
• 3)Cash ISA or Investment ISA – This mostly depends on whether you’re willing to take a risk with your money. Investing is always carries some form of risk but the returns are generally much higher. Many Investment ISAs now manage the funds for you and invest to a level of risk you’re comfortable with, so it’s definitely a viable option for your money. A Cash ISA means you will not lose any money and will see some gains but will likely be at a much lower rate. You can also split your money between one of each of these type of ISA.
• 4)Deposit Amount: Many accounts require a minimum deposits amount so it’s always worth checking the requirements of your provider. The more you deposit the higher the returns. Most Junior ISA allow continual deposits from parents, friends and family but no withdrawals until the child reaches 18.
  
  
• 5)Length of Time: The longer you leave the amount in the account, the higher the returns. This is particularly true of Investment ISAs as early withdrawals can result in a loss of money. By allowing time for the stock market to settle, you could see much higher returns. Junior ISAs can’t be touched until the child turns 18.

What is a Junior ISA?

A Junior ISA is a government initiative launched in 2011 which provides a tax-efficient way to invest for your child's future. There's no income tax of capital gains tax to pay on the final amount. The Junior ISA lets you invest over the long term for the things your child might need in their adult life: whether that's going to uni, travel, driving lessons or a home deposit.