High interest savings accounts for kids and youth
Rates updated 5 September 2026 - Forget the classic piggy bank, give your children or under 18s the best possible financial head start with a high interest savings account.
| Bank | Savings Account | Base Interest Rate | Max Interest Rate | Total Interest Earned | Introductory Term | Minimum Amount | Maximum Amount | Linked Account Required | Minimum Monthly Deposit | Minimum Opening Deposit | Account Keeping Fee | ATM Access | Joint Application | Tags | Features | Link | Compare | Promoted Product | Disclosure |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
0.05% p.a. Bonus rate of 5.50% Rate varies on savings amount. | 5.55% p.a. | $1,139 | – | $0 | $9,999 | $5 | $1 | $0 | |||||||||||
5.50% p.a. | 5.50% p.a. | $1,128 | – | $0 | $4,999 | $0 | $1 | $0 | |||||||||||
2.25% p.a. Bonus rate of 3.00% Rate varies on savings amount. | 5.25% p.a. | $1,076 | – | $0 | $99,999,999 | $10 | $0 | $0 | |||||||||||
1.00% p.a. | 5.20% p.a. | $201 | – | $0 | $99,999,999 | $0 | $1,000 | $0 | |||||||||||
0.01% p.a. Bonus rate of 5.04% Rate varies on savings amount. | 5.05% p.a. | $1,034 | – | $0 | $99,999,999 | $0 | $1 | $0 | |||||||||||
4.70% p.a. | 4.70% p.a. | $961 | – | $0 | $99,999,999 | $0 | $10 | $0 | |||||||||||
0.10% p.a. Bonus rate of 4.40% Rate varies on savings amount. | 4.50% p.a. | $919 | – | $0 | $99,999,999 | $10 | $1 | $0 | |||||||||||
4.40% p.a. | 4.40% p.a. | $898 | – | $0 | $99,999,999 | $0 | $0 | $0 |
Frequently Asked Questions
If your child’s savings account is earning interest, the Australian Taxation Office (ATO) has strict guidelines.
If the parent provides the money for their child’s savings account and uses it as they wish (such as spending the money on piano lessons for their kid), any interest earned is considered to belong to the parent and the parent must declare that interest in their tax return.
But if the child is depositing their own money into the account, such as pocket money, Christmas or birthday money, or income they have earned from casual jobs, any interest earned is considered to belong to the child so long as the money isn’t spent by anyone else. If the child earns less than $120 in interest for the financial year, no tax will be withheld and they won’t have to file a tax return.
However, if the child is under the age of 16 and earns more than $120 in interest for the financial year, they will have to provide either their date of birth or Tax File Number (TFN) to avoid being hit with a pay as you go (PAYG) tax of 47% on that amount. The child will need to lodge a tax return if they want a refund of this money. If they earn over $420, they must provide a TFN to avoid this tax - a date of birth alone will not suffice.
It may be tempting to put your savings in your child's savings account to take advantage of the high interest rate that you can't get on your own account, but don't. The ATO has very strict tax guidelines in place to govern the funds being held in kids accounts to prevent parents from sneakily hiding their own savings in there.
Parents can take advantage of high interest savings accounts or term deposits for themselves to benefit their own saving goals.
Teaching your child about money while they’re young by opening a savings account can be a great way to help them kick-start their finance journey and establish lifelong habits. By encouraging children to form good habits of saving money regularly, it teaches important life lessons including that sometimes you have to wait and save up to buy something instead of having it immediately.
A children's savings account can be opened by a parent, legal guardian, a grandparent, or even the child themselves. However, some banks may require the child to be a specific age to open an account on their own.
There is typically a maximum balance that the top interest rate can apply to for children's savings accounts, which varies from bank to bank. For example, at the time of writing, Great Southern Bank’s Youth eSaver has a maximum interest rate of 5.50% p.a which applies to balances up to $5,000. Anything above this earns 1.00% p.a.
Depending on the bank, children’s savings accounts will typically come with a minimum deposit requirement in order to earn the maximum rate of interest, however this is generally quite small. For example, at the time of writing, ANZ’s Progress Saver for Kids account requires a minimum deposit of $10 per month.
Some banks may allow children to access the funds with the supervision of a parent or guardian for specific purposes, such as education expenses. Others restrict access until the child reaches a certain age or becomes an adult.
More Savings Accounts Options
