e all love success stories. They are born from the seeds of small dreams. Then over the years of care, they leave a trail of achievements, memories, prized milestones, and eventually become a source of inspiration for the generations to come. A secure life meets a child’s ambition easier, and towards a crystal clear goal without hindrances.
Let’s go back to the day when your child was born. You probably had and still, do have big dreams for this one. Let us guess, you wished your child as better than you in every possible way, who we thought so. Then, you’re a parent who’s thinking the right things, such as financial planning for your child’s education, yes indeed. What better gift than education for your child unfortunately there comes to some challenges. The costs of higher education in the near future will go up by 10 percent every year, which means that the cost of education shall double every 7 years. It will be four times of what it is today in 15 years.
As trans that sounds, don’t let inflation bog you down. to ensure that your child is better than you, you need to stay ahead of inflation. By implementing simple practices, and investing in smart financial instruments.
Here’s what you can do. Firstly, secure a steady habit of starting early, by saving regularly for the long term. so you can benefit from growth accrued through returns over the years. Secondly, never let unplanned expenses make your child’s future take a dip. How do you do this? One of the best ways to financially secure your child is to invest in children’s plans from a life insurance company. That is designed to guarantee your child a steady future.
What do you look for in an ideal children’s plan?
1. Save Over the Long Term
This plan allows you to save over the long term in a disciplined manner. The earlier you start saving the better.
2. Invest According to Your Risk Appetite
Go easy, there’s no pressure. If you can take a higher risk for higher returns, then opt for a unit-linked insurance-based child plan. However, if you feel that you do not have the appetite for market uncertainties, look for a solution that offers a short return on maturity. REMEMBER! If you remain invested for a longer term, you will benefit from the power of compounding.
3. Look For a Premium Funding Benefit
Look for a premium funding benefit offered by life insurance companies. You need a solution that can guarantee that your child’s dreams are not interrupted in your absence. Under this benefit, in case of an unfortunate event, a lump sum amount is paid to the family to take care of immediate education expenses. In addition, all future premium amounts, are funded by the life insurance company. This way the policy does not stop and your child receives a lump sum amount on policy maturity, to meet higher education milestones. So proud parents, plan today and get your child high up that wall of fame.