Great financial gift to secure the future of children, many options ranging from NPS, MF, PPF, SSY.

Children’s Day 2024: Children’s Day will be celebrated on Thursday, 14 November 2024 and to make this day special for children, you have many options these days. From the recently launched NPS Vatsalya Scheme of the Central Government to Sukunya Samriddhi Scheme, bank FD, mutual funds and special recurring deposit plans for children, many options are available to the parents of today. Here you will be able to get information about many options through which you can gift a better financial future to your children on this Children’s Day.

nps vatsalya

The Government of India has recently made arrangements to financially empower the future of all the children of the country under the National Pension Scheme (NPS Vatsalya). This is a scheme which is operated by the Pension Fund Regulatory and Development Authority (PFRDA). Under this, parents can arrange financial independence for their children. In this, parents can start with Rs 1000 for their children and there is no upper limit. This scheme promises market linked long-term investment returns.

gold etf

Gold exchange-traded funds (ETFs) are an investment option that promises much better returns with less risk than bank FDs and bank accounts. At the same time, despite having less risk than the stock market, it gives good returns. Through Gold ETF, investors get the benefit of good returns by investing in gold and as the price of gold increases, investors get good increased returns.

Special recurring deposit plan for children

Like FD, there are many banks which offer special recurring deposit plans for children. In this, you get the benefit of higher returns by investing less amount. In this RD account, like FD, a fixed amount can be deposited every month for a fixed period. People can also get fixed interest on their savings.

investing in mutual funds

People who have high risk appetite can invest in child saving plans in mutual funds for their children. By investing money in mutual funds instead of stocks, you can invest in the stock market with less risk. This gives you a two-way benefit as it gives you an opportunity to invest your money in an investment vehicle with high returns and comparatively less risk than stocks.

Sukanya Samriddhi Yojana

Sukanya Samriddhi Yojana is a scheme which is being run by the government and parents can take it for their girls. As the name of this scheme suggests, it is a girl-based scheme and is being run for girls. In this, tax benefits are mainly available on principal, interest and monthly maturity amounts and attractive interest rates are also available. Anyone can open an account for their daughter under Sukanya Samriddhi Yojana with a minimum amount of Rs 250. The condition for this is that the account should be opened before the girl turns 10 years of age.

PPF account for children

By opening a PPF account for children, parents can accumulate good funds for their children in the long run. It has a lock-in period of 15 years mainly for children and money can be withdrawn only if the amount withdrawn from the account is being used for the benefit of the child. This has the facility that one or both of the parents can jointly invest in the child’s PPF account.

Special FD for children

Parents can become guardians of their children and invest in special FDs for children and some banks also give very high returns on these. You can get some good options for children like PNB Girl Child Education Scheme, PNB Uttam Non-Callable Term Deposit Scheme, Yes Bank Fixed Deposit for Child and SBI Child FD.

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