Having a baby is a blessing, but it may cause a lot of financial stress for your family. Your child’s financial needs will change over time, so make sure a solution is available for your family. At the same time, you also have to plan in advance for your child’s school fees in the future, set up an emergency fund in case your child has an unexpected illness, etc. So which should be included in parents’ financial plan? How can fast loan approval philippines help parents reduce financial stress? Find out more details in this article.
First, parents are encouraged to buy insurances. Health insurance is the most essential one. Besides, you should also consider life insurance and disability insurance.
The first thing that parents are encouraged to do is buying insurance
Life insurance can help you pay for future mortgages, school fees, or weddings for your children. This is seen as a way for parents to ensure financial resources available for their children in the future, in case they pass away. Disability insurance is also a big help if either or both parents are unable to work due to illness or injury. Nowadays some enterprises offer their employees disability insurance. Make sure your insurance is sufficient to cover expenses including mortgage, debt, childcare and household expenses over a long period of time. Insurance is an effective way to protect your family’s finance in an unexpected event.
Parenting comes with a myriad of responsibilities to take care of your children and protect their future, of which creating a savings plan for your child’s education is an essential part. If you think setting up an education fund for your children right from the moment they are born is far-sighted, take a look at the average education cost of a child by level as follows:
Elementary: ₱70.000 – ₱200.000
High school: ₱100.000 – ₱250.000
Making a savings plan for your child’s school fund is extremely necessary
So you had better start planning your child’s education early. The sooner you start saving, the smaller the amount you put out each month, the less financial stress you will have. Reasonable financial arrangement will ensure peace of mind and remove your worries about the future of your family. Instead, financial stability will allow you to fully enjoy and cherish every moment of parenthood.
If you want to save more money, the most practical way is to earn more. Investment is the easiest way to make more money. You do not have to be a financial expert, there are plenty of low-risk investments in the Philippines: mutual funds, unit investment trust funds (UITFs), blue-chip stocks, index funds, etc.
Investment is the simplest way to make more money
Unlike saving money in the bank, investment will give you very high returns. While we cannot deny the risks when it comes to investing in the markets, new investments are the easiest and fastest way to increase your income.
Creating an emergency fund for your children or for the whole family is one of the most important aspects of financial plan. According to the experts, you should have at least 6 months of living expenses in a savings account for emergency use. This emergency fund can support your family if one of your sources of income is stopped or reduced.
Creating an emergency fund for your child is extremely important
However, if you do not have an emergency fund, you may consider fast loan approval philippines as an effective financial solution when you need urgent fund. As the name suggests, fast loan approval philippines offer application approval time within 5 minutes and fast disbursement within the same day. If you are in need of urgent fund, you may refer to fast loan approval philippines.
MoneyCat is a large financial institution with many years of operating experience in the Philippines, Russia, and Vietnam. We not only provide fast loan approval philippines but also advise you on financial solutions suitable to your current circumstances. If you have any financial need, you may consider MoneyCat.
Make sure you are both mentally and financially prepared before deciding to have a baby. Next, try to make a financial plan for your child and family as soon as possible. Please contact MoneyCat if you need fast loan approval philippines or have any other financial questions.