Child Education Plan ? Invest to Give Your Child a Secure Future

Posted by sipnowbsl on October 1st, 2018

It is natural to worry about your child’s education. Each one wants to give the best to their child. With the cost of education increasing, it is essential to plan and invest to secure your child’s future. So let’s talk about what you can do to ensure that your child can comfortably achieve his/her dreams.

• Plan Ahead

It is essential to know how much fund your child would need when he begins his college years. Keeping in mind the current costs, inflation of approximately 7 to 10 per cent is what you need to consider. Once you zero down on an amount you would want to save, you can decide on how you should go about doing it.

• Start Early

The earlier you start investing, the easier it would be to save the amount you have targeted. Besides, you can save the amount by investing smaller portions as you have more time in hand. This would also put less burden on your finances and you could comfortably save without disturbing your lifestyle.

• Create an Education Fund

It is an understood fact that if you have money in hand, you would most probably end up spending it. It is therefore vital to save a certain amount every month to ensure that your child’s dreams are not compromised. Investing wisely helps; as the money saved can be used to attain a better future for your child.

• Keeping Tabs on Inflation

You may already have investment plans running; where you are putting in a certain amount into saving. It is, however, necessary to keep tabs on the increase in education cost every year. The reason being, you can accordingly decide whether you need to make additional investments.

• Invest in SIP

SIP is an ideal way of ensuring that a certain amount is saved on a regular basis. It is gaining popularity as it is convenient for salaried investors wishing to save for their child education plan. It is also a plus point as one can avoid the hassle of having to invest a lump sum amount. With SIP, you need not invest time in looking for a mutual fund scheme every other month. The money you put in is automatically invested regularly in a scheme which would save you a lot of effort.

To conclude, education holds the reins to a good future. It is, therefore, a parent’s prime responsibility to give the best to their child. Your child’s education goal depends on how you plan your finances. So taking into consideration the time you have to invest and the amount you expect to save, invest wisely. Make the right choices to help your child achieve their dreams.