5 Things to do to Safeguard the Future of Your Child

Every parent wishes to ensure the very best for their children. If you too wish to ensure a good better standard of living for your child, you will need a little financial planning. Investments, such as child insurance plans, could be a good idea. Here are some basic things you should do to secure your child’s future.

1.      Ensure the Best Education

The first step is to decide the school in which you want to enroll your child. Their schooling can open up a plethora of opportunities for them. Unlike the West, in India, it is the private schools, rather than those run by the government, that offer higher standards of education, with a focus on the child’s higher education needs. In this cutthroat world of competition, it is one’s qualifications that can ensure a lucrative and fulfilling career.

2.      Open a Savings Account

Many parents are put aside a specific portion from their monthly income towards their child's future financial needs. While it is a good idea to open a savings account for your little one and put in small amounts at regular intervals, also consider investing in long term fixed deposits, where you can earn higher interest.

3.      Invest in Gold

In India, gold holds a special emotional value and investing in gold jewellery for one’s child’s wedding is what every parent looks forward to. However, given that gold investments can bear good fruit, also consider investing in gold ETFs, which can give you returns without you having to risk owning tand storing physical gold. But make sure that your investment doesn't exceed 10%-15% of your overall investments.

4.      Buy Them an Insurance Policy

Do a little research online about child insurance plans or make a direct inquiry from a reputed company. Choose the right insurance policy, taking into account inflation and your child’s specific needs, while also keeping in mind the premium you can afford. Make sure the child plan offers you waiver of premium, in case you're unable to pay premium because of a disability due to an unfortunate event like an accident or the early demise of the parent. The policy should continue and the child should receive a fixed sum of money after a certain age.

5.      Insure Yourself for a Large Sum

The aim is to fulfill the everyday needs as well as cover your child's future expenses like education and marriage. Certain insurance policies provide money to you or your child when they are in the age group of 18-26 years, in your presence or absence. Life insurance can provide financial support in case of any unforeseen events and keep your family financially secure.

Children are like White Boards Needing Nurturing, Advice and Guidance

“Children close their eyes to advice but always open their senses for guidance,” goes a popular saying. Every child’s mind is like a clean slate. Parents have the all important job of creating lasting impressions on these young minds, so that they can shape up their lives in the right manner. And, of course, it is also a parent’s duty to provide for their children’s basic and allied needs. A fair amount of planning goes into this. There are child insurance plans that can be utilized to help you nurture your child for success.

Parenting is a full time job and the styles will keep changing as your child grows up. However, here are some simple tips that might help you raise successful, responsible individuals.

Universal Parenting Tips

Nurturing children and instilling the right values in them could seem like a tough call if you do not tread the right path. Here are some guidelines that can help:

•  Start Early: Young children are exceptionally perceptive. So, begin with value education and goal alignment early on. Teach them to differentiate between the “good” and the “bad”. Ask questions to ascertain whether they have understood or not. Keep it simple and relate real life events to these value lessons for a perfect understanding.
• Choose Rewards Carefully: We all know rewarding children is the best way to keep them motivated. However, choosing rewards carefully is important. Always gifting them their favorite things could make them greedy and opportunistic in the long run. Rewards should involve bonding activities, such as telling them their favourite stories, spending time playing their choicest sport and so on.
• Set Examples: Children follow examples. And parents are their natural role models. So, the manner in which you conduct yourself when you are around them is where they will pick their habits and mannerisms. If you want your child to respect elders, for instance, you will need to show them that you do the same, irrespective of the social or economic stature of the person in question.
• Never Compare: Comparing child insurance plans for the securing the best one for the benefit of your child is a great move. You could even compare schools and curriculums and what not for ensuring the best for your child. However, never compare your little one to anyone else. Comparison with peers dents the confidence of your child. 

Remember, every child is special in his or her own way. Knowing your child’s potential and doing every bit to nurture it is the best thing you can do for him or her. Of course, the resources provided by your child insurance plan will have a huge role to play here.