This Mother’s Day, give your mother something that secures her financial future

The most important woman in your life is your mother and what better way can be to express your love for her than securing her financially. A roof on your head, good health and enough finances to fall back upon is the prerequisites for lifelong security. This Mother’s Day, try gifting her something special. Instead of gifting her cards and flowers, gift her something useful. For example, you may gift her

A financial portfolio

It does not matter whether or not your mother is financially independent. You can still gift her a mutual fund in her name while you pay for it through systematic investment plans (SIPs). We all know that inflation erodes our purchasing power, which means that mere savings will not do. You have to invest in mutual funds to earn returns that not only beat inflation but also help create the much-needed corpus in the long run. The burden of responsibility often refrains many women from reaching out to financial advisors for necessary advice regarding savings and investments. In that case, you can check your mother’s profile to gauge her likely financial needs in future and then select a mutual fund based on her requirement. Once you have chosen a mutual fund that aligns with her financial goals, help her get the KYC done and contribute regularly to that fund. It helps if she has invested in mutual funds before. However, if this is not the case, this Mother’s Day may be the best day for her to step into the world of mutual funds, experience the power of compounding and see her money within a few years.

Buy her gold

Aha! Nothing excites a woman more than the glitter of gold. However, investing in physical gold may not be a wise decision owing to low liquidity levels and difficulty in storing. You can however gift your mother sovereign gold bonds (SGBs) or invest in gold mutual funds in her name. If she has a Demat and a trading account in her name, you can also buy her some gold ETF units. These investments are linked to the price movements of gold. This means that you can benefit from the rise in gold prices sans the hassle of storing them or paying extra charges for their safe storage. Gold mutual funds are relatively simple compared to gold ETFs as the former do not require Demat or trading accounts. However, you may have to pay a small fee as fund management charges.

Book her a medical check-up

It makes sense to go for a full body check-up at least two to three times a year. This is especially true for adults who are more vulnerable to falling ill. This Mother’s Day, book a full body check-up for your mother. This way, you will know if she needs some medical help. A detailed check-up might throw light on some disease or anomaly that necessitates immediate treatment. What’s more, you can claim a tax deduction of up to ₹5000 on your mother’s preventive health check-ups under Section 80D of the Income Tax Act.

A regular pension

It feels good to see a continued flow of income into one’s account. This applies to senior citizens too who look forward to a pension every month. If your mother is aged 60 years and above, you can help your mother park her savings up to ₹15,00,000 in the Pradhan Mantri Vaya Vandana Yojana (PMVVY). This insurance cum pension scheme was announced by the Indian government exclusively for senior citizens aged 60 years and more ensuring a monthly pension at 7.40 per cent every year. The assured rate of pension is payable to the senior citizens during the entire policy tenure of 10 years. The pension is paid either monthly, quarterly, half-yearly or yearly depending on the request by the pensioner. At the end of the policy term, the purchase price along with the final pension instalment will be paid to the policyholder. In case of the sudden death of the policyholder during the policy term, the purchase price is credited to the beneficiary’s account.