Making the Most of a Youth Savings or a Young Adult Savings Account

The ability to manage money is a life skill that can take years of discipline and practice to perfect. That’s why it’s important to build a strong foundation for your child from a young age. As a parent, grandparent or guardian, remember that the lessons you teach today will help to enrich your child’s life for years to come.

At Bethpage, we offer two great savings accounts to help children and young adults prepare for their future:

1. Youth Savings Custodial (NYUTMA)* for children aged 0-17.

2. Young Adult Savings for older children aged 18-20.

These savings accounts offer no annual fees, a low minimum opening deposit (only $5), and quarterly dividends to help you teach them that saving money always pays.

To help your child get the most out of a new or existing account, we suggest you:

1) Set a goal

Now that your child’s money will be held in an account, let them start saving for something they really want. Together, you can create a long-term goal, like saving for college or a first car, and a short-term goal, like a new bicycle.

Set target dates to reach these goals, and then establish a savings calendar to illustrate how much money needs to be saved each month to reach the intended goal by the designated date. Discuss ways to add to the savings, being sure to include money from birthday gifts, summer jobs, and allowances.

2) Bank together

Whether your child is heading off to first grade or college, if this is their first savings account, they will benefit from you showing them how it works.


  • Try to bring your young child with you when you stop by a branch to deposit their savings. Let them experience the process and watch the account balance grow.
  • If your young child asks you to withdraw money from his account, make sure they see how this translates into a dip for their savings.

Young Adults

  • For older children, you may need to walk them through that first deposit and withdrawal. When they understand what to do, you can let them handle things on their own.
  • Remind them to never share their account information with anyone.

For financial education tools for you and your family, visit

* All funds deposited in the account irrevocably become the property of the minor but are to be managed for the minor’s benefit by the custodian until the minor reaches the age of majority, at which time the custodian is responsible for distributing the funds to the minor. Only one custodian (who must be 21 or older) and one minor are allowed per account. The NYUTMA imposes certain fiduciary and record keeping obligations on an NYUTMA account custodian and requires that interest earnings are reported to the IRS under the minor's Social Security number. Bethpage Federal Credit Union has no duty to monitor or ensure that the acts of the custodian are for the use or benefit of the minor or comply with the NYUTMA, or are otherwise permissible exercises of the custodian's powers under the NYUTMA. If you are not certain whether NYUTMA account is the right choice for you, we strongly urge you to first seek professional legal, tax, investment and/or estate planning advice. The offering of NYUTMA accounts should not be construed in any way as the providing of legal or tax advice by Bethpage Federal Credit Union.

Membership requires a $5 minimum share account.