** Special to The Just Word Blog with content from Andrew Spinner, Founder and CEO of Beanstock- a gift registry that allows parents to save for their children’s education **
This past year my niece was born and I wanted to win the early title of Best Uncle by getting her the most meaningful gift. I’m a CPA who’s worked in the finance world my whole career, so I naturally wanted to give her something with a strong return on investment (rather than a stuffed animal or a blanket). I recalled how both of my siblings received shares of Canadian banks when they were born from our grandparents. These stocks appreciated, paid dividends, split, and ultimately generated them a meaningful amount of wealth for their post-secondary education. I found myself wanting to give this same gift to my niece.
After researching options on how to buy investments as gifts, I realized that there weren’t many options other than writing a cheque, giving it to the parents, and requesting it be invested in the child’s account. All other options were tedious, expensive, and far too complicated.
That’s where Beanstock comes in.
“We created Beanstock to help parents save for their children’s education, and allow their friends and family to give more meaningful gifts.”
Many parents find that by the time their child turns one, they already have all the toys, clothes, and books that they need, especially if the child has an older sibling. Beanstock shifts the focus to growing an investment portfolio with a goal to pay for your child’s higher education.
Beanstock helps you start saving for your children’s education right away. You can set up a Beanstock registry in just 2 minutes for any occasion — a birthday party, christening, baby naming, baby shower, etc. Friends and family can contribute any amount as a gift, and leave a personalized message. When the party is over, your funds will be invested in a diversified portfolio of exchange-traded funds (ETFs) with our partner, Justwealth Financial. As Portfolio Managers, they will guide you in selecting the best investments for your risk profile and investment style.
Many parents don’t know that the Canadian government will provide a 20% matching contribution for every dollar invested in an Registered Education Savings Plan (RESP) account, up to $500 per year. That’s $500 free, every single year from the government until your child goes to College or University, as long as the government has something to match. It’s a great initiative that we all should be taking advantage of.
Beanstock isn’t just a way for parents to start saving, it also provides friends and family members a way to give meaningful gifts. A gift of $50 today, once invested, can be worth $60 by next year, and $75 the following year. A gift to a Beanstock registry helps someone reach higher education; an incredibly generous gift.
We plan to become a place where you can save, learn and grow as a family. We think you’ll love Beanstock. Try it out, and share it with moms, dads, and those expecting growing families. If you have any feedback, we’d love to hear it. Email us at email@example.com.
Article originally published on Medium: Introducing Beanstock: A gift registry that will help send your kid to University