Outlook Money
One should not get swayed by emotion while investing in their children’s future. It’s important to stay objective, calculate all risks, remain rational, and then plan for the future needs of their most precious people.
Waiting too long to start saving can be a problem. Planning for a child's education expenses may appear challenging while the child is still young, but as a parent, it is a duty to save and invest money for their future requirements.
Failing to teach children about money management can result in difficulties when they move out. Therefore, it is crucial to introduce a child to fundamental financial planning concepts such as saving, investing, and budgeting, and to instil the discipline needed to follow through with these practices.
Children need to have the ability to come back home when they need to, especially when they are studying abroad for higher education. Hence, one must keep all incidental costs in mind while planning for a child’s education fund.
Taking a life insurance policy for children is a good option but if one loses job suddenly, while the child is still studying, it can be difficult. A simple way to prevent this is to start investing early so that one has an emergency fund created.
Compiled by Syed Muskan