Our grandkids’ super accounts were frozen. How else can we invest for them?

April 29, 2026 — 5:01am

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I have six grandchildren and thought it was a great idea to secure an investment for their futures. I am retired, and my super has been good to me. We obtained tax file numbers and, for three of them, set up accounts with a major super fund, with their mother (my daughter) as the contact. The fund then advised that the money is now frozen.

After a couple of calls, we’ve discovered it is more complicated than simply placing money there. Regular contributions are needed to maintain any balance, as fees and management costs eat into it. Could you offer any advice on how to proceed with funds for the children?

For most families, non-super options such as savings or investment accounts, or insurance bonds, are more practical. They allow funds to grow while remaining accessible for education or major life milestones.

Super becomes far more effective once a child starts working, when employer contributions begin and balances can grow over time.

Aware Super general manager, guidance & advice Peter Hogg says, “Super is incredibly powerful – but it’s built for retirement, not childhood savings. For younger children, flexibility matters. Often, simpler investment options outside super are a better way to help kids early........

© The Sydney Morning Herald