During the Spring Festival, parents with children often find themselves holding varying amounts of "lucky money" received in their children's names after hosting and visiting relatives. Different parents handle this money differently. Our reporter learned that parents of children aged one to three mostly deposit it directly into bank accounts, while parents of children over three consider investment strategies to grow the funds.Survey: Parents Spend Children's "Lucky Money" Regarding how to invest children's lucky money, our reporter randomly interviewed nearly 30 parents whose children ranged from newborns to 15 years old. Half of the parents explicitly stated they had no intention of managing the money separately. Typically, they only had a rough idea of the total amount before incorporating it into their daily household expenses."The amounts range from one or two yuan to several hundred yuan. We also give roughly equal amounts to our relatives' and friends' children, so we don't bother separating it out. We don't see the need," said Ms. Zhang, whose child is two years old. Her response reflects the sentiment of the vast majority of parents.
In the reporter's survey, only a very small number of parents revealed that they used the money for their children's financial management or investment, including purchasing insurance, investing in bank wealth management funds, buying gold, etc. Some also used it directly to pay tuition fees.
Recommendation: Cultivate Children's Financial Awareness
Industry experts note that regardless of the chosen management approach, the concept of New Year's money is often more symbolic than substantive. Precisely for this reason, it's crucial not to overlook the importance of engaging children in understanding and participating in financial management. Yet many parents, when implementing plans, fail to guide their children's involvement or hands-on participation, instead handling everything themselves. This approach misses the true purpose of managing New Year's money.
Zhang Qiling, a wealth manager at ICBC's Dongcheng Branch, revealed that minors can actually open their own independent bank accounts under parental supervision. Opening an independent account allows children to participate in investment and financial management under parental guidance, track account fluctuations, and develop economic awareness—a highly effective form of life education. "Children aged 16 to 18 can open independent accounts without parental accompaniment, but cannot activate online banking.Children under 16 require parental assistance to open an account."
Among all parents interviewed by the reporter, none had children with their own bank accounts. All parents interviewed stated they had never considered this option. However, upon learning the true purpose of managing New Year's money, most agreed that combining an independent account with New Year's money management is more meaningful.
Three Models for Managing New Year's Money
Regular Fund Investments
Zhang Qiling recommends using children's New Year's money for regular fund investments. Fund returns are higher than bank fixed deposits, yet more stable than high-risk direct investments like stocks. She personally uses her child's New Year's money for regular fund purchases.She revealed that by consistently investing 5,000 yuan annually in a regular investment plan for five years, it's common for the returns to double.
Universal Life Insurance for Children
Chen Min, a senior financial planner at Ping An Insurance, proposes purchasing universal life insurance for children. Since children will incur expenses as they grow up, investing current spare funds into insurance creates a safety net while also yielding solid returns upon adulthood. The advantage of universal life insurance lies in its multifunctional use of spare funds—covering accidents, illnesses, and investment management.
Gold
In actual cases observed by our reporter, some parents holding substantial amounts of New Year's money are taking advantage of the current low prices of gold products to purchase gold bars for storage, employing a long-term risk-hedging strategy.
Industry experts caution that purchasing gold also requires timing the market, as gold prices fluctuate significantly and carry high risks. Sometimes, no returns may be seen for over a decade, so parents need the patience for long-term holding.