I lost my father pretty early in life. While I had just finished graduation, my sister was still in class 12th when our world came tumbling down with his sudden demise. It would have been impossible for my homemaker mother to support our dreams and steer our futures the way we had envisioned with dad, if they had not done their homework well. I am proud of my parents, who planned their finances not only for our futures but also for unforeseen unfortunate emergencies. Though we lost the anchor to our lives in him, but never ever we had to compromise on our education for the lack of finances. Our education was always on the top of his priority list and he made sure we get it no matter what. He always had his savings in place and we were happy studying in India.
For every parent, his child’s education is of utmost imporance. Like my dad even we want to be there to support our daughter come what may. However, our situation will be pretty different than what it was for him. Our financial requirements will be pretty different than his. Our homework will be different than his, but that we we will have to do our homework – is certain.
Why do you need to #DoYourHomework?
– Because today, children’s aspirations are much more diverse than ours. While, we had no qualms pursuing higher studies in India, it will be a natural progression for today’s children to go abroad. Along with an increase in career options available to young minds today, what we will have to take care will be a steep rise in the cost of education, which surfaces right from the elementary school level.
– Because as parents, it is our responsibity to provide intellectual nourishment to our children to help them bloom into individuals who can ‘think,’ ‘compare’ and make a ‘choice.’ Once they come up with a career choice they want to persue, we have to be prepared to support and respect their choice – both emotionally and financially.
– Because most of the parents do not have an exact view of how much education would cost in the years to come.
– Because many parents are not fully prepared to handle the high fees. Especially in case of foreign education, wherein one has to take care of living expenses in addition to tuition fees.
In short, giving our kids the best of what they desire cannot happen sans stringent financial planning right from the day a child is born or even when we start thinking about having one. However, it’s never too late to start. Now, is also the right time.
You might know that what you are spending today will hold far lesser value after 20 years from now. You might know how much finance you need to educae a kid to become a doctor today, but you may not be able to imagine that amount 20 years from now. So, how do you estimate that amount?
How do you #DoYourHomework?
At a recent activity conducted by Axis Mutual Fund, when kids were asked to sketch what they wanted to become when they grow up and parents were asked to draw the career they would like to choose for their kid, most of the parents got to know that their career choice for the kids was very different from what the kids aspired. As my daughter is still too young to show her choice, I did my part and discovered that the amount that we would need to make my daughter an architect, we would need far more savings that we are currently thinking of!
All the above mention questions find answers at #DoYourHomework tool. The platform enlists the Why, the How & the What for parents’ reference enabling them to find out education costs for various careers across various countries both in the current and in the future, and also suggests the ideal amount one should invest in order to meet the future requirements.
For instance, I got to know that for my daughter’s education to become an architect I would need approximately Rs.82,01,575 at the rate of 6% inflation by year 2031,when my daughter will be 18! Now that was enough to make us think and plan our child’s future in a better way. Ting Tong! Thanks for the wake up call and the savings avenues suggested.
So, now that I’m ready to prepare myself, here’s an urge to #DoYourHomework before it’s too late! Trust me, kids grow up really fast!