What we do in our family is we each have our own iCloud accounts but say on my wife's phone I signed her out the app store and then signed in with my account. This way we share purchases including IAP's for things like ad removal or premium features in apps. We can also share iTunes gift cards, iTunes Match, ect. But everything else is still on our own personal iCloud accounts.
They do have 'Family Sharing' now but IAP's, iTunes Match, and iTunes gift cards do not share so we stuck with our old method of I just mentioned of sharing App Store and iTunes through my Apple ID but still having our own accounts for everything else (iCloud Photo Library, contacts, mail, iCloud backups, etc).
You can get a free email account with Google or MS to setup an iCloud account for other family members. Then they will have their own @icloud.com email addresses and Apple ID plus an external Google or MS account. I'd personally prefer MS with an @outlook.com address but either will do.