Our guide to the Junior ISA

A Junior ISA is a long-term savings account set up by a parent or guardian with a Junior ISA provider, specifically for their child's future. Only the child can access the money, and only once they turn 18.

Before we start...

The information we provide should help you to make an informed decision as OneFamily doesn’t provide advice on this product. If you’re not sure whether a Junior ISA is suitable for you or your child, it’s worth speaking to an independent financial advisor (IFA).


About the Junior ISA

There are two types available: a cash Junior ISA and a stocks and shares Junior ISA. Both can be used to make a long-term investment for your child, but the option(s) you choose will likely depend on your attitude to risk and which of the product features are most appropriate for your circumstances.

The current annual subscription limit for Junior ISAs is up to £9,000 for the 2020/21 tax year (that's from 6 April to 5 April the following year), but you are not limited to choosing just one type of Junior ISA - you can split the annual £9,000 subscription limit, in any proportion, across both types of account if you wish.

Over the long term, a stocks and shares Junior ISA offers the potential for larger returns. But it’s worth remembering that its value can fall as well as rise. This is normal for this kind of investment, but it does mean the child could get back less than has been paid in.

Cash is more secure, but the cost of living (inflation) generally increases over time, so if interest rates aren't higher than inflation the final amount probably won’t buy as much in the future as it could now.

Find out more information about how Junior ISAs work below. Or for more information about OneFamily’s offering, see our Junior ISA page.



  • Available to those not eligible for a Child Trust Fund, or those wishing to transfer an existing Child Trust Fund into a Junior ISA
  • May be held in cash and stocks and shares
  • Investment limit set at £9,000 for the 2020/21 tax year

How much could your child get?

We all want our children to do well in life and there are certain milestones where a little help from family and friends can make a massive difference.  Whether you're investing a little or a lot, you can use our calculator to work out how you could build up a very useful amount by the time they're 18.

As a guide, use our calculator below to find out how much your child could get with a OneFamily stocks and shares Junior ISA.

The figures are a guide only, and we can't guarantee them. They're not a reliable indication of future performance. The amount your child gets back depends on how the investment grows. Stocks and shares can fall as well as rise so the child could get back less than has been paid in. Also, the cost of living generally increases so the final amount may not buy as much in the future as it could now.

Slide to the amount per month you intend to invest

  • £50

Slide to the current age of your child


Amount your child could receive at age 18


    2% annual growth


      5% annual growth


        8% annual growth

        Things to keep in mind when using our Junior ISA calculator

        These results assume amounts for low (2%), mid (5%) and high (8%) annual growth levels. These figures include a deduction of annual management charges of 1.5% and assumes the intended investment amount is maintained until age 18. Calculations are not exact and these charges may vary in the future. If you open a OneFamily Junior ISA, we'll send you statements four times a year to show you how your child's account is coming along.

        Remember, our Junior ISA invests in stocks and shares. As with any investment, its value can fall as well as rise and your child could get back less than is paid in. Only your child will be able to access the money paid into the Junior ISA, and only when they are aged 18.


        Only a parent or a legal guardian can open a Junior ISA for a child - although once the account is set up anyone can invest in it, meaning grandparents and other extended family members can make their own contributions towards your child's future.

        Your child is eligible for a Junior ISA if they:

        • Are under 18 years of age (although some providers may have lower age limits, depending on the particular account)
        • Be resident in the UK
        • Have not been eligible for a Child Trust Fund account

        It is worth noting that, since April 2015, holders of Child Trust Fund accounts can transfer to a Junior ISA.


        A Junior ISA can be an efficient way of saving because tax isn’t paid on the returns. This means when your child turns 18, their Junior ISA won't be liable for income tax and capital gains tax deductions.

        However, there is a limit to how much you can save in a Junior ISA each tax year. The current allowance for the 2020/21 tax year is £9,000.

        Tax advantages depend on individual circumstances and may change in the future.

        Junior ISA limits 2020-21

        How you can invest money for your child

        You can open a cash Junior ISA or a stocks and shares Junior ISA, or set up one account of each kind for the same child. It's up to you how you choose to split your investment over these two accounts, but remember that the total payments that can be made into the accounts cannot exceed the current tax year limit of £9,000.

        For example, you could invest £4,500 in a stocks and shares Junior ISA during this tax year, as well as £4,500 in a cash Junior ISA, as long as the overall investment for the 2020/21 tax year does not exceed the £9,000 limit.

        Alternatively you could invest £8,000 in a stocks and shares Junior ISA and £1,000 in cash, or place the entire £9,000 allowance in stocks and shares. Equally, you could invest more in a cash Junior ISA.

        Remember that the £9,000 Junior ISA allowance is a maximum yearly subscription amount for the current tax year - you can invest significantly less than this if you wish to, either as a lump sum, or as a regular investment. Please bear in mind that any unused allowance at the end of the tax year is lost and cannot be added to the allowance for subsequent years.

        Junior ISA examples of how you could save

        How to set up a Junior ISA

        Setting up a Junior ISA for your child is straightforward. You should firstly decide on whether you want to invest in a cash Junior ISA, a stocks and shares Junior ISA, or a combination of the two.

        Then you should select your account provider - there are lots to choose from, including offerings from banks, building societies, credit unions and other financial services providers.

        Each will offer different Junior ISA products with different investment charges and returns, so be sure to shop around to get the most suitable product for your child before contacting the provider to confirm the application process.

        About our Junior ISA