Generational Wealth Calculator
How the Calculator Works
This calculator helps you plan for your child's financial future by demonstrating:
- The power of compound growth over time
- Impact of regular contributions
- Key financial milestones
- Potential wealth accumulation
- JISA to ISA conversion process
- Long-term investment strategies
Enter your investment details below to calculate potential growth.
Maximum £9,000 per tax year
Up to £750 per month to stay within annual limit
Historical stock market average is around 7-10%
Key Calculations Explained
Compound Growth
Your investment grows through compound interest:
- Earnings are reinvested to generate more earnings
- Growth accelerates over time
- Regular contributions enhance the effect
- Time in the market is crucial
JISA to ISA Transition
Junior ISA automatically converts to an adult ISA at age 18:
- Funds remain invested
- Investment strategy can be adjusted
- Contribution limits change
- Control transfers to the child
Investment Milestones
Key points in the investment journey:
- Age 18: JISA conversion
- Age 40: Mid-life growth phase
- Age 55: Early access options
- Age 67: State pension age
Important Considerations
Investment Returns
The calculator assumes a constant rate of return. Actual investment performance may vary significantly from year to year.
Inflation
The calculator does not account for inflation. The purchasing power of the final amount may be different from today's value.
Tax Rules
Tax rules and allowances may change in future years. The calculator uses current tax year rates and thresholds.
Disclaimer: This calculator provides estimates only and should not be considered financial advice. The calculations are based on the information you provide and current tax year rates and thresholds. Investment returns are not guaranteed and can go down as well as up. Past performance is not indicative of future results. The calculator assumes a constant rate of return, which may not reflect actual market conditions. Please consult with a qualified financial advisor for personalized advice regarding your investment strategy and tax planning.