Can I open a Vantage SIPP for my child/grandchild?
- Yes, and contributions are eligible for tax relief.
- You will be able to pay up to £2,880 into their SIPP each tax year. The government will automatically add up to £720 (20%) tax relief. If the child has earnings above £3,600, you will be able to pay in more.
- Tax rules can change and the tax relief will be based upon your child / grandchild's status and not your own, so the amount you can contribute to your own pensions will remain unaffected.
- Any higher rate relief due will be based on the earnings of your child or grandchild and can be claimed by them, not yourself.
- A pension cannot usually be accessed until at least age 55, so there isn't any danger of it being spent unwisely.
- To proceed, please download the Vantage SIPP application form and Legal Guardian form, and return them to: Hargreaves Lansdown, One College Square South, Anchor Road, Bristol, BS1 5HL.
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Before applying, please understand the risks and features of the Vantage SIPP.