Children’s Day 2024: India is the land of diversity and is home to great leaders who have shaped the country, fought for it, and won hearts. One such leader was the honourable late Prime Minister Pandit Jawaharlal Nehru. India celebrates Children’s Day today, 14th November, every year to honour the late Prime Minister. Nehru ji loved children and ensured their well-being around him. Children’s Day celebration raises awareness about the rights, education, and well-being of all children.
It is the duty of parents to secure the future of their children. The first and foremost step is to secure the future of the children. The future holds significance, and among all the other responsibilities, it is also our duty to ensure that the child has a financially secured future. With rising lifestyle standards, it gets a little difficult to save. But as we learned earlier about how to invest small amounts in SIPs and get high returns, we can do the same for our children.
The Government of India has introduced many schemes, big and small, for parents to invest in as savings for their young children. These schemes are very profitable and can be termed as Low Investment, High Returns. Check them out this Children’s Day 2024-
Children’s Day 2024: Here Are Few Government Schemes That Could Useful To Parent
Sukanya Samriddhi Saving Scheme
The Government has designed this scheme especially for the girl child to make sure that her future is secured. This scheme asks you to invest for your daughter until she turns 10. It offers an interest rate of 8.2% every year. This investment account is valid for 15 years after opening it, with the interest rate being revised every 3 months. The amount of interest is credited at the end of each financial year. The deposits from this scheme come under the tax deduction of Section 80C.
NPS Vatsalya Scheme
Regulated by the Pension Fund Regulatory and Development Authority (PFRDA), the National Pension System is a pension scheme for minors up to 18 years of age. All parents who want to secure the future of their children with financial security can opt for this scheme. In this scheme, a guardian can deposit a minimum amount of ₹1,000 per month, and the maximum limit has no cap. Parents can operate this investment account until the child turns 18, after which the account will be handed over to the child. They can withdrawal of up to 25% of the contribution, after a lock-in period of three years, but for specific reasons like education, specified illness, or disability, up to three times.
Two Options For Investment Are
- The Moderate Life Cycle Fund, which is 50% equity,
- The Aggressive Life Cycle Fund, which is 75% equity,
- The Conservative Life Cycle Fund, which is 25% equity.
Post Office PPF Scheme
Public Provident Fund (PPF) is a scheme of the post office, considered a good long-term investment scheme. The scheme is also considered a good option, it comes with an affordable start, a minimum investment of ₹500. The scheme offers an interest rate of 7.1%. This makes it a safe and low-risk investment scheme for long-term investors.
Invest in these schemes this Children’s Day 2024 and ensure a financially secured future for your kids.
Also Read: Investing Made Easy: Top Reasons Why SIP is The Best Way to Build Wealth
