Parenting these days is much more challenging than what it was a few decades ago. There is immense pressure on parents to perfect the art of parenting to bring out the best in their child. The good news is that both mom and dad are equally involved, which makes sure that every little detail is taken care of. One such critical detail, where both parents have to step-up their game is financial planning for the child. The biggest challenge for parents today is to muster the finances to match the mounting costs of education and marriage.
Consider this -a 2 year management degree at a leading management institution within India today would cost you at least Rs 10 lakhs. At an inflation of rate of 5%, this amount would grow to approximately Rs. 26 Lakhs after 20 years when your child will be eligible for an MBA course. With children taking to hobbies like music and art as alternate careers, parents have to shell out a lot more on their children than the previous generation.
Not just education, everything comes at a steep price tag, be it the wedding that you dreamed of for your child or a new house or a car for him or her. While your child is doing his or her best, it may not guarantee a successful future unless you have planned to meet these needs.