If you are worried about your child's future, then start investing with this formula, your child will become a millionaire at the age of 18.

If you do financial planning for your child's future right from his birth, then you can easily accumulate a fund of crores by the time he turns 18 and can fulfill your responsibility towards your child very well. However, for this, you will have to invest under a formula.

SIP Investment Formula: Every parent starts worrying about their child's future right from their child's birth. Nowadays, lakhs of rupees are spent from the child's education to his marriage. In the coming time, this expenditure will be even more. In such a situation, arranging so much money is a huge responsibility. However, if you do financial planning for your child's future right from birth, then you can fulfill this responsibility very easily and well.

Here know the method by which you can save not lakhs but crores of rupees for your child. If you start this work with the birth of your child, then your child will become a millionaire by the age of 18. For this, you will have to invest in mutual funds with a formula. Let us tell you about this-

This formula will do wonders.

This investment formula is 18x15x12. With this formula, you have to start investing in mutual funds with the birth of your child. You can easily invest in mutual funds through SIP every month. According to the formula, 18 means year, that is, you have to start SIP with the birth of the child and continue it till he turns 18. 15 means SIP of Rs 15,000 and 12 means return. The average return of SIP is considered to be 12 percent. How to add more than 1 crore fund

If you apply this formula and start a monthly SIP of Rs 15,000 in the name of your child as soon as he is born and continue it for 18 years, then you will invest a total of Rs 32,40,000 in 18 years. If you calculate the average return of SIP at 12%, then you will get Rs 82,41,589 as interest on this amount in 18 years. In this way, after 18 years, you will get a total of Rs 1,14,81,589 by combining the invested amount and interest. In this way, when your child turns 18, he will be the owner of Rs 1,14,81,589. In such a situation, you can easily fulfill all his needs with this amount.

Benefits of SIP

The benefit of compounding is tremendous in SIP. The longer the duration of SIP, the greater the benefit of compounding. Its average return is 12 percent which is not available in any other scheme. Sometimes the return is even higher than this. Apart from this, you get the benefit of rupee cost averaging. Due to this, your expenses remain average even in the event of fluctuations in the market. On the other hand, there is flexibility regarding the investment period and amount in investing through SIP. You can choose the option of monthly, quarterly or half-yearly investment period as per your convenience. Whenever you need, you can stop it and withdraw money from your SIP and increase the investment in SIP whenever you want.