How To Help Your Domestic Help Plan Finances

By | November 13, 2018

Forget the usual sweets and other festive gifts you give to your maid; here’s how you can give them a valuable financial plan for their future.

How To Help Your Domestic Help Plan Finances

It is a common tradition for Indian families to gift their housemaids with sweets, sarees, and maybe the occasional bonus on auspicious days. But, do these gifts really help change their quality of life? How about gifting them something that will have a long-term positive benefit on their life and finances, huh?

How about giving them a financial plan that will help them improve their standard of living? Interested? Read on!

The power of information

Most domestic helpers are not even aware of the saving and investment schemes that are available to them. It’s amazing how a little information can help them develop a sense of streamlined planning for the future.

Here are some beneficial schemes you can suggest to your maid:

Pradhan Mantri Jan Dhan Yojana

This scheme involves no cost or minimum balance, yet it is loaded with useful benefits such as an accidental insurance cover of up to Rs. 1,00,000 along with a life insurance cover of Rs. 30,000. Enrolling in this scheme can really help your maid fund any medical expenses incurred due to a health emergency or accident.

Atal Pension Yojana

The Atal Pension Yojana comes at a reasonable cost of Rs. 291 per month. It provides useful benefits in the long run such as a guaranteed monthly pension between Rs. 1,000 and Rs. 5,000 once the individual crosses 60 years of age. What’s more? The accumulated corpus is returned to the nominee in case of death of the policy holder.

Additional Reading: Latest Updates About The Atal Pension Yojana

Sukanya Samriddhi Yojana

The Sukanya Samriddhi Yojana is a special scheme for the girl child. Available at a humble price of Rs. 250 per year, the scheme offers benefits such as 8.5% guaranteed annual returns for a 21-year tenure. It also allows a premature withdrawal of up to 50% of the corpus fund after the girl child crosses the age of 18.

Pradhan Mantri Suraksha Bima Yojana

Available at a mere Rs. 12 per year, this scheme offers a risk cover of Rs. 2 lakhs for accidental death and permanent disability. For cases of partial disability, a cover of Rs. 1 lakh is available.

Now that you have helped your maid by informing her or him about the various saving schemes and investment options available, it only makes sense to guide them through the process to eliminate any chances of hesitation on their part.

Assistance with paperwork

Your domestic help may be intimated by the paperwork involved in applying for saving schemes. As an educated individual, you can help ease the stress by helping them with important paperwork such as opening a bank account and getting the required documents in place for the scheme that they wish to enroll in.

General advice

There’s a great chance that your maid will approach concepts such as insurance and investment with a lot of scepticism and suspicion. In such cases, you can give them peace of mind by assuring them about the reliability of such schemes and also pointing out how helpful these financial schemes will be in the long run.

Additional Reading: The Ultimate Financial Planning Guide

Suggesting a simple budget plan

If you find that your maid is ready and open to planning finances but doesn’t know how to go about it, you can chart out an easy-to-understand budget and plan and share it with your maid.

Need financial help yourself? Just click the link below.

All information including news articles and blogs published on this website are strictly for general information purpose only. BankBazaar does not provide any warranty about the authenticity and accuracy of such information. BankBazaar will not be held responsible for any loss and/or damage that arises or is incurred by use of such information. Rates and offers as may be applicable at the time of applying for a product may vary from that mentioned above. Please visit www.bankbazaar.com for the latest rates/offers.

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