An educational plan is like a seed that needs time to mature. The earlier you plant the seed, the sooner you can enjoy its fruits. The ideal time to start investing on an educational plan is as soon as a child is born and schooling expenses are still out of the picture. Plus, since your kid is very young, the premium is very affordable. A protection and savings financial product like SUN Accelr8, for example, can begin providing you with regular guaranteed and increasing cash benefits in eight years.
Investing for future education is not as expensive as you think
False sense of priorities and lack of information can delay parents from investing as early as possible. Did you know that investing for your child’s education only cost the same as your monthly cellphone, cable TV, or Internet bill? The rise in the average prices of goods and services, also known as inflation, only emphasizes the need to prioritize and allocate financial resources appropriately.
By choosing to invest, you make it possible for your child to choose the best school for them and without the pressure of getting a scholarship or other forms of aid. Time and consistency are key to your investing success that can protect you and your family from financially draining situations – like paying for increasing education costs. Make sure that the decisions you make today will serve you well tomorrow.
Educational plans guarantee funds for the future
Parents investing for their children’s future can only take so much risk. Difficult times make an educational plan's guaranteed returns and endowment benefits more attractive. Its life insurance coverage ensures that a child can continue their education and receive all maturity benefits – no matter what happens to their parents. Sure, there are other types of investments that are promoted to yield higher returns but the risks are also high. When it comes to investing for your child's education, taking chances may not be the best option. Responsibly putting money into your child's education is.
An educational plan can force you to prioritize saving and investing money now to beat inflation, fund your child's education, and enjoy peace of mind throughout this stage of your life. After all, being a parent means facing our fears if it guarantees our child's happiness. Investing and committing to a financial product can be scary but only until you take your first step.
Where to start
It's true that looking after your children and trying to provide for your family can be all-consuming but managing your finances is equally important. Make time to sit down and research financial products that are suited for your child's educational needs. The best source of information is directly from the websites of insurance companies. Some even have tools (hyperlink to life insurance calculator) to match your needs with an investment plan.
Identify insurance and investment products that suit your risk appetite, goals, and your capacity to pay the monthly, quarterly, or annual premiums. Direct any questions you have to knowledgeable financial advisors. Beware of bad financial advice from friends and family. Your child's future is too valuable to rely on hearsay without proper fact-checking.
Finally, choose an insurance provider with demonstrated commitment in honoring their promises. Don't fall for get-rich-quick investment frauds that pry on the already financially vulnerable. Remember that if an investment is too good to be true, it probably is.