Income Tax Season: Didn't get ITR refund? Here's what you can do
Zee Biz web team
Zee Biz web team
ZeeBiz Desk
Jul 12,2024
To accumulate a big amount, you need to start SIP just after the birth of your girl child.
Market-linked scheme
Due to being market-linked, you will undoubtedly have some risk in SIP, but long term SIP can give you returns that are not possible with any other scheme.
Experts' views
Experts consider the average long term return of Mutual Funds SIP to be 12 per cent. However, it can also be more than this sometimes.
Start SIP with just Rs 1,000/month
If you start SIP for your child even with Rs 1000 at the time of birth, then by the age of 18 years you can accumulate an amount of more than Rs 14 lakh.
For this, you just have to make a top-up of 10 per cent in SIP every year.
How to save Rs 14,41,466: Know calculations
Suppose you start a SIP of Rs 1000 just one month after the birth of your child. Deposit only Rs 1,000 for one year.
Next year you will have to increase 10% of Rs 1,000 i.e. Rs 100. In this way, your SIP will be Rs 1100 next year.
Next year, you have to increase 10% of Rs 1100 i.e. Rs 110 more, i.e. then your SIP will become Rs 1210. Similarly, every year you will have to add 10 per cent to the existing amount.