Caring for Parents Gift a Monthly Income!

When you were young your parents carefully planned your future. Now, when you're doing well, it's your turn to secure their future and give them a comfortable life. Financial independence is one of the most important factors towards this. If you're abroad and wonder how you can assure an easy regular monthly income for them back home, read on.rnAdvanced technology, coupled with a wide network, has helped banks to provide easy money transfers with reasonable remittance charges. Besides sending money, you can now also invest, pay utility bills in India, and take a home loan as well. Apart from providing financial independence to your parents, you could also ensure their good health. ICICI Lombard's Rishtey parents' health insurance policy ensures cashless hospitalization and air fare reimbursements to visit dependants. You can gift the policy to your parents by buying it online or over the phone. With mutual funds gaining momentum, investment avenues like fixed deposits and post office monthly savings schemes seem to have become passé. You could gift Monthly Income Plans (MIPs) in mutual funds to your parents. Some popular MIPs available in the market include Prudential ICICI MIP, Alliance MIP, SBI Magnum MIP, and Templeton MIP. The returns on these may not be very certain since mutual funds are subject to market risks. But it is an ideal choice for someone looking at less risk (than you'd get from playing the stock market) and decent returns in the short run. Unlike the fixed rates of interest at the post office's monthly savings scheme, the units in mutual funds can be sold anytime for the current price on the market. When you sell and what price you sell at will determine your returns. A higher return is possible depending on stock market fluctuations. Have you opted for any of the above choices to ensure health, happiness, and comfort for your parents back home? Have they benefited from your initiative? Let us know, right here.