Money Gifts for Children in Switzerland: What to Do with Godparent Money, Birthday Money and Goldvreneli?
April 17, 2026
9 min read
Money Gifts for Children in Switzerland: What to Do with Godparent Money, Birthday Money and Goldvreneli?
Godparent money at baptism, cash for birthdays, the traditional Goldvreneli at 18. An honest Swiss decision framework — instead of letting it all disappear into a drawer.
The Short Version in Three Lines
- Over 18 years, an average Swiss child accumulates CHF 1,200 to CHF 2,500 in money gifts — from birth and baptism through birthdays, Confirmation, to the 18th birthday.
- If those gifts go continuously into an equity savings plan, CHF 1,250 nominal becomes around CHF 2,400 by the 18th birthday at 7% return — nearly double what the savings book delivers.
- The Goldvreneli — the traditional Swiss gold coin — is a beautiful gift but financially weaker: a Goldvreneli from 1995 has appreciated 3.5x. CHF 100 in the MSCI World over the same period became CHF 750 — more than double.
Featured Snippet — The Answer
CHF 50–500 accumulate. Where they land decides everything.
Money gifts for children in Switzerland typically range from CHF 20 (small birthday gifts from relatives) to CHF 500 (Confirmation gifts from godparents). Over 18 years, these accumulate to CHF 1,200–2,500. On a savings book, they lose real purchasing power; in an equity savings plan, they compound to CHF 2,400–5,000 by the 18th birthday. The decision of where the gift lands is mathematically more important than the gift size itself.
Money gifts are a Swiss institution. The godmother (Gotte) gives CHF 200 at baptism. The godfather (Götti) slips CHF 100 into a card for the 5th birthday. Grandparents reliably remember every birthday. At Confirmation or Firmung, CHF 200–500 from godparents and closest relatives. And at 18 — tradition — a Goldvreneli, the small Swiss gold coin minted between 1897 and 1949, carefully handed over in an envelope.
What most Swiss families do then: the envelope ends up in a stack in a drawer. Or at best: once a year, the accumulated bills get carried to the cantonal bank and deposited into a "savings book for the child" — earning 0.05% interest. Over 18 years, the accumulated money remains nominally intact. In real terms, at 1.5% inflation, it loses around 25% of its purchasing power.
There's a better way. This article shows how.
The Five Typical Money Gift Occasions
In Switzerland, there are five recurring occasions where children receive substantial money. Here are the typical ranges — based on Pro Familia surveys and our observation of average Swiss family practice:
Occasion 1 · Birth & Baptism
Godparent Money and Birth Gifts
Typically CHF 100–500 from godparents and closest relatives
The first major money gift. Godparents (Götti and Gotte) typically give CHF 200–500 at baptism, grandparents CHF 100–300, other relatives CHF 50–100. At an average Swiss baptism, CHF 500–1,200 accumulates — the single largest gift in a child's life. This money has 18 years of compounding time ahead of it, if placed correctly.
Occasion 2 · Birthdays 1–14
Birthday Money from Family and Friends
Typically CHF 20–100 per occasion, several givers
Through childhood, CHF 50–200 accumulates per birthday from parents, grandparents, godparents, aunts, uncles. Over 14 years, an average CHF 700–2,800 accumulates. The amounts are smaller than birth or Confirmation gifts, but frequency makes the difference. Exactly these small, recurring amounts are ideal for savings plan top-ups.
Occasion 3 · Confirmation / Firmung
The Second Major Money Gift Event
Typically CHF 200–800 from godparents and relatives
Around age 15 in most Reformed Protestant parishes (Konfirmation), or age 14–17 in Catholic families (Firmung). Godparents give another CHF 200–500, grandparents CHF 100–300, other relatives CHF 50–100. The Confirmation gift is often regarded as "the last big gift before adulthood" and is correspondingly generous. Total: CHF 500–1,500.
Occasion 4 · 18th Birthday
Coming of Age and the Goldvreneli
Typically CHF 200–1,000 plus a Goldvreneli (market value ~CHF 460)
Reaching legal adulthood is the last occasion for a traditional gift ritual. Parents and godparents often give CHF 500–1,000, other relatives CHF 100–300, plus the traditional Goldvreneli. The 18th-birthday cash gift is often the direct starting point for independent investing — either the first stock portfolio or as a contribution toward a car, travel, or first apartment.
Occasion 5 · Apprenticeship Completion / Matura / Degree
Educational Milestones
Typically CHF 200–500 at apprenticeship completion, Matura, or Bachelor's
In many Swiss families, educational milestones are also marked with money gifts. Apprenticeship completion, Matura (university-entrance certificate), Bachelor's degree — godparents and grandparents mark these transitions with CHF 200–500. Unlike earlier occasions, the young adult now decides themselves what happens with the money. This is where the family's financial socialisation reveals whether it worked.
The Sum Matters
Over 18 years, an average Swiss family accumulates CHF 1,200 to CHF 2,500 in money gifts. That's a substantial amount — comparable to 6–12 months of a CHF 200 savings plan. If placed optimally, this gift money can boost the end balance of a regular savings plan by 20–40% — without additional burden on the family budget.
The Threshold Matrix — Where Should Which Amount Go?
Not every money gift belongs in the same pot. The right answer depends on the amount, the child's age, and the occasion. Here is the pragmatic Swiss decision matrix:
What to do with which gift amount
CHF 0–50
Let the child keep it. An 8-year-old should be able to use a CHF 20 gift from their godfather on something concrete — Lego, a game, a book. Financial socialisation starts here: experience money first, then learn to manage it.
CHF 50–200
Half into a child's savings account as a "first-step nest egg", half into the piggy bank for the child's own wishes. The child retains direct access to part; part goes into the long-term pot. More important than the split is the habit.
CHF 200–2,000
Directly into an equity savings plan in the child's name. At this scale, the account-opening cost is worthwhile and the compound effect over the remaining years matters. Parents manage the account; the money belongs to the child.
CHF 2,000+
A dedicated child investment portfolio with diversified equity allocation. At CHF 2,000+, return optimisation matters more than simplicity. Professional management — an arvy savings plan or a concentrated Quality fund — can make sense here.
The temptation — and the most common mistake — is to put everything in the savings book "because it's safe." Over 1–3 years, that's true. Over 18 years, the savings book is by far the riskiest place due to inflation loss. If you're locking up a gift for 18 years, apply 18-year math, not 1-year math.
Goldvreneli Special: Sentimental Value vs Honest Math
The Goldvreneli is a piece of Swiss identity. The golden Vreneli with the Edelweiss crown was minted between 1897 and 1949. Receiving — and giving — one as a gift is a cultural act that goes far beyond finance.
Still, the honest math check is worth it. Here are the numbers:
| Scenario (CHF 100 invested in 1995) | Value 2025 | Annualised Return |
|---|---|---|
| Goldvreneli bought and held | CHF 354 | ~4.3% p.a. |
| MSCI World CHF (dividends reinvested) | CHF 750 | ~6.9% p.a. |
| Difference in favour of equity | CHF 396 | +2.1x |
Goldvreneli calculation based on historical gold prices plus numismatic premium. MSCI World CHF total return 1995–2025 including dividend reinvestment. Real market comparison without considering tax aspects.
The Honest Question
Sell the Goldvreneli or keep it? This is not a pure financial decision. Whoever keeps a Goldvreneli for sentimental reasons sacrifices roughly CHF 400 of opportunity cost per CHF 100 of original value over 30 years. That is substantial — but if the Goldvreneli came from the deceased grandmother, this is not the right question to ask. Separate: what does the child receive as memory, what does it receive as wealth.
Our recommendation: keep one Goldvreneli as a memory — that's worth Swiss family tradition. But if the child has received several Goldvreneli or substantial gold gifts that are not connected to a personal story, then selling them at the child's adult age (with their consent) and reinvesting into an equity savings plan is the clearly better financial choice. Memory and wealth are two different pots.
The Compound Math — What Five Money Gifts Can Become
To make the concept concrete, here's a worked example. Assumption: a Swiss child receives the following money gifts over 18 years — not aspirational numbers, but realistic averages:
| Occasion | Year | Amount | Value at 18 (7% return) |
|---|---|---|---|
| Birth | 0 | CHF 200 | CHF 676 |
| Baptism | 0 | CHF 150 | CHF 507 |
| 1st Birthday | 1 | CHF 100 | CHF 316 |
| Confirmation/Firmung | 15 | CHF 300 | CHF 368 |
| 18th Birthday | 18 | CHF 500 | CHF 500 |
| Nominal contributed | — | CHF 1,250 | CHF 2,366 |
CHF 1,250 in money gifts become CHF 2,366 — nearly a full doubling purely from the compound effect over different investment horizons. The two gifts at the very start (Birth and Baptism, totalling CHF 350) account for 50% of the end balance, although they represent only 28% of nominal contributions. That is the compound effect in pure form: early money works exponentially harder than late money.
The consequence for your godparent and grandparent gift strategy: don't ask the godfather for a Goldvreneli, ask for a direct deposit into the child's savings plan — if he is open to it. That does not change how the child perceives the gift, but it is financially substantial.
Practical Implementation — Step by Step
If you are a parent today and want to channel money gifts smartly, here are the pragmatic steps:
1. Open a child account or equity savings plan in the child's name. At arvy, this starts from CHF 1 per month without a minimum term. Most cantonal banks also offer child accounts, though without the equity component.
2. Communicate with godparents and grandparents. "We've set up an account where money gifts for the child can go. If you'd like to transfer directly — here's the account number. If you'd rather hand over a card with cash, the child will also enjoy that." This isn't pushy; it offers choice.
3. Separate sentimental and financial value. The Goldvreneli from grandmother — memory. The cash gift from the godfather — wealth-building. Both are legitimate, but they should be treated differently.
4. Keep something accessible for the child. Don't lock everything away — otherwise the child loses their relationship with money. From school age onward, the child should have a drawer with their own money that they decide on. This is financial socialisation, not waste.
5. Automate the investing. Money sitting in an account that doesn't flow into securities isn't working. Set up auto-invest — every CHF 500 in the account = automatic top-up to the savings plan. This avoids decision fatigue.
Frequently Asked Questions
How much godparent money is typical in Switzerland?
Godparents (Götti and Gotte) typically give CHF 200–500 at baptism and another CHF 200–500 at Confirmation/Firmung. Through childhood, smaller birthday contributions usually add (CHF 50–100 per year). Total over 18 years: CHF 500–1,500 from an active godparent.
Should I sell the Goldvreneli or keep it?
Depends on quantity and sentimental value. A Goldvreneli with personal history (from grandparents, memory of deceased relatives) belongs in the memory box — keep it. Several Goldvreneli without personal connection are financially inferior to equity investments. With an adult child and their consent: selling and reinvesting is the better choice.
Who pays tax on money in a child's account?
In Switzerland, the wealth of a minor child is taxed in the income and wealth of the parents (combined with the parental tax return). Only when the child reaches adulthood do they take over their own tax obligation. Returns under CHF 100 are usually not relevant in most cantons anyway.
Should parents contribute to the child's account or keep gifts separate?
Pragmatically: everything in the same pot. Money is fungible — it makes no difference for the compound effect whether it comes from the godparent or the parent. What matters is that gifted money is clearly communicated to the child as their property (even if parents manage it), not as family wealth.
At what age should a child manage their own money?
Swiss educators recommend: small amounts from school age (CHF 10–20/month pocket money plus birthday money to spend freely), substantial amounts from teenage years. At 12–14, the child can understand what stocks are and how a savings plan works. At 18, they should be able to make independent banking and investment decisions.
What happens to the child's account when they turn 18?
The assets transfer to the child. They are legally fully capable from their 18th birthday and can dispose freely. The parents lose access rights unless the child delegates them voluntarily. More details in our cluster article on Transition at 18.
Can the godfather deposit directly into a savings plan account?
Yes. Once the parents have opened an account in the child's name, anyone with the IBAN can deposit funds. At arvy, this works the same way: the godfather transfers to the godchild's savings plan account, and the deposit is automatically invested in the next monthly contribution.
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From CHF 1 per month. Godparents, grandparents and family can deposit directly. Swiss Quality equities, FINMA-regulated.
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Written by Thierry Borgeat, Co-Founder of arvy. Reviewed by Patrick Rissi, CFA and Florian Jauch, CFA. Data sources: Pro Familia Switzerland (money gift surveys), historical gold price data, MSCI World CHF total return series 1995–2025, own calculations using the standard future-value formula.
Disclaimer: This article serves general educational purposes and does not constitute personal investment or retirement advice. Historical returns are not a reliable indicator of future results. arvy AG is authorised by FINMA as a manager of collective assets under CISA Art. 24. Imprint & Legal Information.
