When a new baby is born, life changes. How happy you are to see the new bond that has come into your life. And what should that child do for a golden future? Some of the simple tasks that need to be done for their future when a new baby or baby is born, should start as soon as they are born. If you are late, you will not only face problems in the future but also waste a large amount of money and time. Therefore you need to know the following things to create a better future for your children.
1. Renewal of Life Insurance:
As soon as children are born, a new life begins for everyone. This is a new responsibility for you and your spouse. Careful consideration of all current and future costs is required to complete this task properly. Parents want the best for their children. It costs a lot of money. Usually the person who is the head of the family or the person who earns in the family provides all the facilities to their children. But in the event of an accident to the head of the family, life insurance will cover the cost of these expenses. When another new sin comes into your life, the unfulfilled obligations also increase. Therefore, based on the number of family members who depend on you, life insurance should be increased to suit their needs. If you have not yet purchased a life insurance policy, take out a life insurance policy now. You need to buy a term policy that is 10 to 15 times your current annual income.
2. Health insurance cover: If you
already have a health insurance plan (purchased or operated by the company you work for), include your children in the policy as soon as they are born. If you do not already have a health insurance policy, take out a new policy that includes your children.
Some policies guarantee new babies as soon as they are born. There is no need to pay a special premium for these. For example: The Family First Health Insurance Policy offered by MaxBupa covers all health care expenses, including vaccination costs, from the day the child is born until the end of their first year.
3. Recurring Deposit: At
present the school expenses of the children are Rs. They range from Rs 50,000 to Rs 1 lakh. Preschool fees can also be a source of frustration for parents. In metro cities like Hyderabad, the annual cost is Rs. 25 thousand to Rs. Fees up to Rs 1.5 lakh will be payable. If you have a baby or a baby now, you will incur these costs in the next 2 to 3 years. Therefore, from now on, it will be necessary to arrange the expenses. The easiest way to achieve these short-term goals is to open a recurring deposit account with a bank.
For example, Rs. Therefore, if you want 45 thousand, you will have a grace period of 30 months from now, so open a recurring deposit account and pay Rs. Depositing 1500 will give you the amount you want.
4. Nominee Update:
You can nominate children for bank accounts, fixed deposits, mutual funds, and even a portion of your assets. If the bow has been written before, the bow can be restored as soon as the baby is born. If you forget to update the baby’s or baby’s name on the bow you wrote, there is a chance that your children will lose the property that belonged to them in the event of some unfortunate incident. Therefore, as soon as the baby is born, update the nominee details of your assets and investments.
5. Registered Birth Certificate:
Apply for birth certificate as soon as the baby is born. It is very easy to register and the process starts with the birth of the baby. This is one of the tasks that needs to be done in most hospitals. An application form can also be obtained from the hospital. It must be submitted to the local authorities within 21 days of the baby’s birth.
6. Savings Account:
A savings account should be opened immediately after the birth of the baby. Many banks now offer savings accounts for children as well. For example, ICICI offers a savings account called Young Stars. The account can be opened in the names of children from 1 day to 18 years of age.
- There are three main reasons to open a bank account in the name of a newborn baby:
* To save the rewards that come in the form of cash when the baby or baby is born
* to link the investments made for the future of the child with the account
* The children learn banking and personal finance from the very beginning of their lives.
7. Purchase of clothes and toys:
When anew baby or baby is born, parents want to give their children the best clothes and toys they can. With that enthusiasm children also buy things they don’t need. Babies sleep most of the day when they are born. As well as growing rapidly. It does not make sense to the parents for a few months after the baby is born that they will not have to work with expensive clothes and toys. Relatives and friends bring a lot of things for their children when they come to see them. Less money will be wasted as you buy them for less than this. Think slowly and buy the things that children need.
8. Child Plans:
Parents are thinking of providing a better future for their children. At such times many agents advise not to take different types of investments. This is a good gift for the future of the child, many insurance agents are looking to sell child plans with words like this is a good start to your child’s life. These types of plans are designed to attract parents. But these plans combine insurance and investment with regular payments. These are similar to ULIPs and traditional insurance plans. The premium is also very high.
medical facilities: Medical expenses are high from 1 to 2 years after the baby is born. The doctor should be consulted more often. You may need to contact us immediately. Therefore make sure that the doctor is available at a distance of 15 to 20 km from your place of residence.
10. Emergency Kit:
Contacting a doctor for minor issues such as stomach ache and toothache can be a waste of time and money. Emergency supplies should be available without the need to go to the doctor every time.
Thefinancial journey of the parents will go on happily for a long time if the above things are implemented. Most people do not think about what they will see when the time comes. But with good planning, you do not have to worry about last minute problems.