Start saving for your child's future today to unlock incredible wealth

IN A world where financial security is increasingly out of reach, establishing a consistent saving habit can yield extraordinary results for South African parents and their children. The secret isn’t how much you save, it's when you start.

- ADRIAN HOPE-BAILIE

Time is the single most powerful ingredient in building wealth. If you have R1,000 a month to invest for your child, and you use the right strategy, you could set them up with more than R100 million by the time they retire, tax-free.

Know your goals before you start

Saving for your child’s future isn’t a one-size-fits-all approach. I suggest splitting the investment between short, medium, and long-term goals:

1. Long-term wealth creation (retirement savings)

2. Tertiary education (access needed around age 18-25)

3. Financial education (smaller, short-term spending goals).

Each goal has its investment time horizon and, therefore, its strategy.

A Tax-Free Savings Account (TFSA) in your child’s name is one of the most powerful tools to build wealth. If you start from birth, and consistently invest R1,000 per month, your child will get to the R500,000 lifetime contribution limit by their early 30s.