A new member in your family is a wonderful experience. As a new or expectant mother, you want the apple of your eye to have everything he or she deserves. Shopping for clothes, shoes, accessories, cradle and much more, the sky is the limit. But this is not it. What you also need to plan in advance is something beyond this minuscule list - the baby shower, naming ceremony, first birthday celebration to name a few. In today’s competitive world parents also think in advance about their child’s education. Yes, it is important to plan for the same right from one’s birth!! Kindergarten tuition fees now-a-days successfully hypnotize parents. Jokes apart; gone are the days when education was made available in peanuts.
Here are some tips to make the journey of your little one smooth and hassle free -
Step 1 – Chalk out all your expenses on a sheet and prioritize them.
Step 2 – Merge similar or related needs and eliminate the less important ones.
Step 3 – List down the occurrence of these important expenses. Immediate expenses would include formula milk, pediatrician visits and comfy diapers etc whereas expenses that follow at a later stage would include buying a walker, a cycle etc.
Step 4 – Keep an estimated budget in mind for all these upcoming expenses.
Step 5 – Plan a financial solution to tick each and every requirement to give your baby the comfort for life.
With this exercise, you would have clarity on your financial standing. Do not get intimidated with the upcoming expenditure. Remember that exhausting past savings or depending only on the current income can be detrimental. Multiplying your income is of utmost importance. Investing your hard earned money intelligently and regularly would be the best way to go about it. Make provision for investments every month and hire a professional; someone who can handhold you, track your investment portfolio, follow your instructions and do just what is best for you.
Experts at 5nance.com encourage people to think smart, think in advance, think methodical, think in a time-bound manner and last but not the least have attainable and quantifiable financial goals. Someone has rightly said, “Goals are pure fantasy unless you have a specific plan to achieve them”. Set your goals right. Figure out how much money you would need to accomplish a certain goal. Then try the Goal Planning tool. It helps you to calculate the amount you would need to invest for the period you specify. Remember, there can be an investment plan for one and all; it can be tailor-made too!
Take a look at the Investment options below -
1.Systematic Investment Plan (SIP)– Want to invest small portions at regular intervals? SIPs are best for you. A certain pre-decided amount is invested in the market (mutual funds) periodically. You can start with as low as INR 1000/- and steadily increase the investment amount as you may deem fit. It reduces the burden of making huge investments at one go and can be easily liquidated when in need.
2.Lumpsum Investment– Have surplus money? Make a one-time hassle-free investment in a fund that would provide growth prospects. Keeping in mind the kindergarten admissions this option would give a good return by the time your infant turns into a toddler.
3.Fixed Deposits– Want to play it safe? Need visible and guaranteed returns? Go for Fixed deposits with leading corporate houses. This certainly would be a neat way to handle upcoming expenses of your school goer.
And there’s more to it, the specialized products available in the market provide Maternity and New Born Baby Cover from Day 1. Isn’t insuring one’s baby right from birth a win-win situation for all mothers?
Regular disciplined savings, understanding your investment pattern, managing funds adequately, following the market, diversifying your funds and not restricting yourself to the old and traditional methods is the key. With help from experts, it is definitely possible to ease out your financial burden. Stays focussed and invest regularly; the long-term benefits you will reap are bound to be promising.
Now, it is for you to think what lures you more, the tiny returns from traditional methods of savings or great returns by getting your money work for you. It’s never too early to plan your little one’s future.
Start investing for a better future; take a new leap in life. Ask for 5nance support today.