Prerequisite: Microsoft Family
The good news is that if you are using Windows then you already should have set up your Windows Family and set up Windows Parental Controls as described here. A Microsoft account is required to create an Xbox account.
Each child should have a Microsoft account and a linked Xbox account (identified by his nametag)
As stated in the Windows Parental Controls section, I recommend creating a secondary Microsoft account dedicated to gaming and then creating a linked Xbox account. By doing this you are able to manage both Windows and Xbox parental controls from a single location.
Note 1: There might be some undesired effects to switching your child to another Xbox account: in particular game saves and friends cannot be transferred to the new account. If this is too painful, you might need to revert to the previous Xbox account and create a separate Xbox schedule in Microsoft Family Safety.
Note 2: Xbox Game Pass and Xbox Live Gold subscriptions can be shared between Xbox accounts on the same Xbox console. See more details at the bottom this page.
The diagram below shows the proposed structure of the Microsoft Family and how it links to the Xbox Family.
Creating a linked Xbox account
To create the Xbox account, log into the child’s computer under his gaming account, open Edge and go to the Xbox Official Site and click on Sign In.
Note: if the child doesn’t have a Microsoft account yet, you will need to create his account directly on the Xbox console. Some details are provided here.
The child’s gaming account should already be logged into Edge so it should bring the following window if no Xbox account doesn’t exist yet:
Click “I Accept” and the child’s Xbox account will be created. A random gamertag will be allocated, it can be changed straight away or later.
This is the Xbox account that your child should be using on the Xbox console.
Reviewing the Xbox Privacy Settings in Microsoft Family Safety page
Go to https://account.microsoft.com/family/home on the parent Windows PC and click on “Review Xbox Settings”
This will bring the following window where you can make adjustments on privacy and online safety:
Deciding on time limits on Xbox and/or Windows
Go to https://account.microsoft.com/family/home, select the child’s gaming account on the left hand side and click on Screen Time. Here I have chosen to use one schedule for both Windows and Xbox. So Tom will be limited to 2h15 for both Windows and Xbox gaming.
Using the Xbox Family App
The Xbox Family App allows you to manage parental controls on your mobile device (Apple or Android).
As you can see, Tom has two Xbox accounts, one for his gaming account, and one for his primary account, which I had created prior to his gaming account. Unfortunately there is no way to delete an Xbox account without deleting the associated Microsoft account. To go around this, I have allowed no time to the old Xbox account (Tomtom2035, effectively disabling it) so he can use only the new gaming one (DominantKingTom)
How to add extra time on demand
Undoubtedly your child will ask for extra time to complete a task or finish a round with his friends. You can add extra time as a one off by opening his profile and clicking “ADD TIME NOW”. If you are using one schedule for both Windows and Xbox, it will also add some time to Windows. If you are using separate schedules, it will add time only to the Xbox console.
Xbox Family Sharing
Xbox Live and Xbox Game Pass subscriptions can be shared amongst users of the same Home Xbox console. See how to designate a Home Xbox.
Ideally all subscriptions should be at the name of the parent who signs into the Xbox, then subscriptions are shared with children who have their own Xbox profile.