That's the max that I can afford at the moment (I'm 22) but I want to save it on a wllet of paper and give it to my sister telling her to keep it safe and that we will give it to him when he is 18 years old. Do you think is a nice idea?

Being young that you are and unselfishly thinking about the welfare of your nephew is quite admirable. Thinking about blessing others before oneself attracts more blessings upon you so that you can bless more people. Paying it forward does work! Because of this attitude, great things are coming to you.