There are many complications to this arrangement. If you have a business and believe you may qualify, contact a tax advisor to get further advice. Once you have determined the manner of savings, you need to determine the type of investments to use. CD's are somewhat lower than bonds. Money Market Funds are even lower.
Most people gravitate to the higher number, but forget the inherent risk.
Savings and Money Market funds give the safest returns. Aggressive stocks fluctuate the most in value. Given the age of your children, most of the assets should be placed in aggressive stocks and forgotten about. As you add money over time, start to add positions in the less aggressive ideas. By the age of 18, remember to have a minimum of 1 years expenses available in savings or money markets.