You can invest in SIP to secure the future of your children. If you make a small investment every month in this fund, then by the time the children grow up, a fund of lakhs will be prepared in it.
New Delhi. At present, inflation is increasing rapidly, but people’s income is not increasing in the same proportion. In such a situation, people are doing financial planning in advance to deal with big expenses. In such a situation, it is justified for the parents to be worried about the future of their children. If you also want to secure the future of your children, then it is necessary to do financial planning for them from now on.
You can invest in SIP to secure the future of your children. If you make a small investment every month in this fund, then by the time the children grow up, a fund of lakhs will be prepared in it. With this, you can get a lot of help for big expenses like children’s education and marriage.
How much will have to be invested?
To secure the future of children, you can invest a fixed amount in SIP every month according to your income and savings. If you start investing with Rs 5,000 every month, then by the time your child turns 20, a fund of up to Rs 50 lakh will be easily ready for him. According to experts, SIP can give you better returns in the long term as you get the benefit of compound interest. In this, usually up to 12 percent return is available in SIP.
Here is the complete calculation
If you start a SIP of Rs 5,000 every month with the birth of the child and continue it for the next 20 years, then in this way you invest a total of Rs 12 lakh. If you get at least 12% return on this, then in 20 years you will get a total interest of Rs 37,95,740. On the other hand, if you see both together, then you will have a total fat fund of Rs 49,95,740 ready for the children.
