From the moment you start planning for a baby, you must also start thinking about the needs of the child. You should build the financial plan in a manner that it acts as the ladder for the requirements of the child. It is the responsibility of the parents to ensure the well-being of the children even when they are not around. You can start this with a child insurance policy– this will provide security to the child even if something ominous happens to you.
Child Education Policy
- For short-term needs like educational expenses, you can invest in products like fixed deposits or debt funds. FDs will be ideal if you belong to the lower tax bracket.
- Education Policy:-The most important thing when it comes to your child’s future is his education and being prepared financially for that is no more as easy as early times. The scenario has changed with the rising education cost and competition. You need to enroll your child under some good coaching center so that he gets into some good college or he can peruse his desired course. Despite being aware of this globalized education system, many parents tend to ignore this. If you, as a parent do not want to take an education loan for the child’s higher study and do not want to affect your savings then you should go for child education policy. The period of this policy should be selected carefully. Mainly, you have to bear a huge expense for the higher duration of your child. So it is wise to set the period in a way that the amount matures when your child becomes 18 years old as, after that, the time for higher education actually starts.
- Life Insurance Policy:-The main question that haunts every parent is that, whether the future of the child will be protected when he is not around or not. To save you from this anxiety there are many child insurance policies offered by the life insurance companies. If the earning parent dies prematurely, then a lump sum amount is given to the child through the structured protection of the child insurance plan. Also, this policy does not end after that, it continues. To take care of the needs of the child, a specific amount is given to the child through the insurance. So, you should invest in life insurance for the child, this is the best child plan you can select for the protection of your child.
Financial needs are not everything in our lives, more than money, we need to teach our children certain values and make them learn certain habits which will help them to emerge as a good human being- after all that is most important. For these should do these things:-
- Values: – Strong values make the base of our characters and learning them in childhood help to shape our character from the beginning. We must teach our children to be honest, generous, compassionate and kind to everybody in any situation. If they can abide by all these, nothing can stop them from anything.
- Value of Relations: – The beauty of relationships cannot be expressed through words, be it the relationship between parents and children, between brothers and sisters, between grandparents and grandchildren, be it any kind of relationship, we must put our best effort to maintain that. Remember children learn all these from you by seeing you doing the same. We must teach your children to respect the elders and love the younger members of the family and maintain all the relationships as these loved ones stand by us always.
- Good Habits:-Teach the children good habits and let them make these a part of their lifestyle to make them more disciplines. Inculcating good habits at a tender age help throughout the life. They should exercise daily to be fit and active and to fight obesity. Also, Yoga can help them to be patient and calm. There are other good habits that should be formed like eating healthy and timely, sleeping early, waking up early, reading storybooks, studying daily, brushing twice a day etc.
So make your children protected and learned from every aspect and be a proud parent with the rich child policy. If you teach them the essential life lessons properly and make them financially secured, both your and your children’s dreams will be fulfilled.