Should we set up super accounts for our pre-teen kids? |
Should we set up super accounts for our pre-teen kids?
May 24, 2026 — 5:16am
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I’ve noticed that when the question comes up about establishing an investment for kids (usually with a future home deposit in mind), nobody talks about starting the kids a super account in this context. It feels like there would be benefits – if the income is streamed to the kids from a family trust, the kids could avoid paying tax by putting it in as a concessional contribution.
Then, if the deposits into super are earmarked as super saver scheme-eligible, the money can grow tax-free. My kids are 10 and 12. But nobody talks about this approach and I assume there’s a good reason. Where does this approach fall down?
Thanks for your question and observation. It is true that super doesn’t tend to come up much in these discussions.
There are a couple of aspects where your strategy breaks. Firstly, your kids can’t make concessional super contributions because they don’t have any earned income. Family trust........