Saving & investing for a child

Build more than a nest egg for a child. Together, build the saving and investing skills that will carry them through life.

Get started today with a Fidelity account that fits the specific saving needs of you and your child or grandchild—all with no account fees or minimums to open an account.1


529 college savings plan


Save smartly for a child's education, with tax-deferred growth and federal income tax-free withdrawals for education expenses that qualify.

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Custodial account (UGMA/UTMA)


Save on behalf of a child—or give a financial gift—with no contribution limit.

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Youth Account


Teens ages 13 to 17 can learn to spend, save, and invest in this brokerage account―with a free debit card and no subscription fees.1

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Roth IRA for Kids


Invest for your child's future retirement, with tax-deferred growth and potential tax-free withdrawals.

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Attainable Savings Plan (ABLE)


Save and pay for qualified disability expenses, including federal income tax-free withdrawals for expenses that qualify, without potentially impacting benefits like Supplemental Security Income (SSI).

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Ready to get started?


Open the account of your choice below.

 

529 college savings plan

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Account control Adult controls the account for the benefit of the beneficiary (child).

Child eligibility Must have a Social Security number. A beneficiary can be any age.

Contribution & gifting limits No annual contribution limits. Overall contribution cap varies by plan. Gift tax limits apply.2

Investment options 2 choices at Fidelity: Age-based investment strategies managed by Fidelity. A custom investment mix from pre-set portfolios made up of Fidelity mutual funds, index funds, and bank deposit accounts.

Withdrawals May be taken at any time. No federal income tax will be owed on withdrawals, including any earnings, if the money is used for qualified education expenses.
 

Custodial account (UGMA/UTMA)

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Account control Money in the account belongs to the child, with the adult acting as custodian until the child reaches a certain age (between 18 and 25, depending on the state), at which point the assets must be transferred to the child.

Child eligibility Must be younger than 18.

Contribution & gifting limits No limit on maximum contributions or gifts. Contribute up to $15,000 per individual ($30,000 for a married couple) free of gift tax in 2021.

Investment options Our full range of investments, including stocks, options, mutual funds, bonds, CDs, and fractional shares.

Withdrawals May be taken at any time, but must be for the benefit of the minor.
 

Youth Account

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Account control Money in the account belongs to the teen; it is not a joint or custodial account. Parent/guardian can monitor activity online and through monthly statements, trade confirmations, and debit card transactions.

Child eligibility For children aged 13 to 17, a parent/guardian with an existing Fidelity account may open this account on their behalf. Child must have a Social Security card, plus one other form of ID. At age 18, account will be transitioned to a retail brokerage account for free.

Contribution & gifting limits Fidelity suggests a $30,000 deposit limit per calendar year. Deposits will be monitored by Fidelity. If the suggested limit is exceeded, we reserve the right to restrict additional deposits and trading capabilities.

Investment options Investments are limited to most US stocks, ETFs, and Fidelity mutual funds. Fractional shares are available.

Withdrawals May be taken at any time by the account owner (teen). Parent/guardian may not withdraw from this account.
 

Roth IRA for Kids

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Account control Money in the account belongs to the child, with the adult acting as custodian until the child reaches a certain age (between 18 and 25, depending on the state), at which point the assets must be transferred to the child.

Child eligibility Must be under the age of 18 and must have employment compensation (e.g., babysitting, mowing lawns, shoveling snow, or W-2 income).

Contribution & gifting limits Cannot exceed a minor's earnings; e.g., if a minor earns $1,000, then only $1,000 can be contributed to the account.

Annual maximum contribution of $6,000 per child, per year for 2021.

Investment options Our full range of investments, including stocks, options, mutual funds, bonds, CDs, and fractional shares

Withdrawals No federal income tax will be owed on withdrawals of contributions, which can be taken at any time. Earnings can be withdrawn tax-free once the account has been opened for 5 years and one of the following conditions is met: child reaches age 59½, death, disability, or qualified first-time home purchase.
 

Attainable Savings Plan (ABLE)

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Account control The account owner is the eligible individual, or designated beneficiary. If they are a minor, a person with signature authority (PSA) must be designated on the account.3

Child eligibility Must already be receiving benefits under Supplemental Security Income (SSI) and/or Social Security Disability Insurance (SSDI). If not, to be eligible, they must be certified blind or disabled by a licensed physician. In all cases, the disability must have begun prior to age 26.

Contribution & gifting limits Eligible individual owns the account. Annual contributions may not exceed the federal gift tax exclusion amount, which is $15,000 for 2021.

Investment options A range of professionally managed investment portfolios.

Withdrawals May be taken at any time. No federal income tax will be owed on withdrawals, including any earnings, if the money is used for qualified disability expenses.

Additional resources


Tips for raising a saver


Start teaching kids about money early with our age-appropriate lessons.


The ABCs of 529 savings plans


Learn ways to explore college investment options and potential tax advantages.


Turbocharge your child's retirement


Learn the ins and outs of the Roth IRA for Kids.

Questions?
800-343-3548