5 Tips for Dads on How to Be Good Financial Role Models

In the life of a child, the role of the mother is celebrated and glorified much. But the silent, hard work of a father in shaping a child’s life is often taken for granted. While the mother might be a care-giver and nurturer of the child, the father is responsible for providing economic support and security during the growing up years.

On the occasion of Father’s Day that falls on June 16th this year, Shanthala Chits salutes all the loving fathers for their unstinted devotion to their families. They put their careers and personal ambitions on hold in order to take care of their family needs. As soon as a child is born, the needs of the child take precedence over their own needs. The financial prudence shown by the father through the childhood and young adult life of a child is directly responsible for their success and prosperity in future.

Every father hopes that his children become more successful and accomplished than himself in life. To ensure this, fathers need to set definite financial goals for each milestone in the child’s future. Whether income levels are high or low, the discipline and planning that goes into meeting these milestones is the key.

We recommend the following 5 steps that every dad can take to keep pace with the growing demands of raising a family:

#1 Start early – As soon as a young adult becomes a father, his life priorities change. It’s best to start thinking about setting aside savings for the child’s needs right from the start. That way, the saving habit will a routine affair, and it won’t pinch the pocket much.

#2 Be prompt and regular – Its always tempting to side line this month’s saving quota and instead spend it on some other priority. Urgent expenses will always keep cropping up especially with kids in the household. But fathers would do well to treat their monthly saving quantum of money as separate from their expense budget, and not compromise on that.

# 3 Choose your financial instruments wisely –The financial instruments you can consider are Government PPF and small savings schemes, Fixed Deposits, Mutual Funds, Life insurance policies. There are also special saving schemes for the girl child. Chit funds are also an attractive option. Give preference to safety of funds rather than high returns. Government/PSU schemes, trusted mutual fund houses and registered chit funds are a safe bet.

# 4 Match investments to specific goals –Saving without a specific aim will not be effective. Especially when it comes to saving for your kids’ future, work out a clear plan based on known milestones – yearly fees, graduation expenses, higher studies, sports and other extra-curricular hobbies, wedding expenses and so on. Now depending on the amount and time period of the expense, you can pick the appropriate saving instruments.

#5 Set aside money for yourself –In all the buzz around the kids, do not neglect your own self-development needs. Be it a home purchase or an MBA degree or health care, it is also important to keep your own needs in mind. Because unless the father is properly skilled, well employed and physically fit, he cannot ensure that his children enjoy their youth and dream to make it big.

Keeping in line with the financial needs of every family, Shanthala Chits offers various attractive investment schemes. Shanthala Chits is a Government approved chit fund company with a 23-year successful track record and thousands of satisfied customers. It is registered under the Chit Fund Act of 1982, Government of Karnataka.

The investor can choose a monthly investment quantum that best suits his needs. Within a fixed tenure of 25 months, hecan withdraw the entire amount. No loans, no interest liabilities. Money just in time for meeting your expenses. Good returns and secure investments.

Dear Dads, we wish you all a very happy Father’s Day. You are your child’s Guru, role model and guardian for life. You are playing a crucial role in shaping the country’s future generation. Thank you for everything!

Anuradha C

Anuradha is a freelance writer cum corporate trainer in the IT/telecom domain with over 18 years experience. She served in senior technical and management positions in Huawei and TCS for 10+ years. Then gave up the traditional corporate ladder to go solo - in order to escape horrendous city traffic and to be at her own boss!
Anuradha C

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