Children Future Planning

Planning for a child's future involves a comprehensive approach to ensure they lead a secure, prosperous, and fulfilling life. Like every parent, you must be overjoyed to watch your child grow. All parents aspire to provide the best possible upbringing, which includes a good education and security in case of any eventuality. As your little one grows up, you'll need to prepare for their higher education and wedding.
Children's Future Planning aims to create a financial reserve for anticipated expenses like higher education and weddings, while also ensuring adequate security during their formative years. This planning is crucial because education and weddings are high-priority life goals that cannot be postponed or compromised.
A good education has always been a gateway to a secure future. Today, career opportunities are abundant, and your child can aspire to many professional courses. However, the cost of higher education has increased significantly.
Like most parents, you might be saving regularly to secure your child's future. However, savings alone are no longer sufficient. To adequately fund your child's education, you need to do two things:

  • Invest appropriate amounts systematically and at regular intervals.
  • Provide financial security to cover any eventuality.

It's never too early to start saving and investing for your child's future, especially in today's context. For example, the cost of a professional degree today is approximately Rs 3 lakhs. If your child is one year old today, by the time they go to college in 17 years, you may need Rs 8 lakhs, assuming an annual inflation rate of 6%.
There are various products available to help achieve these objectives. For instance, an SIP (Systematic Investment Plan) in a mix of Mutual Fund Schemes or Children's Plans offered by reputable insurance companies can help build a corpus for your child's higher education and provide a security cover.