10May/13

# Make your children financial savvy-Part II

###### Q2.What is a recurring deposit ? I am 12 years old . I want to start a recurring deposit of Rs.1000 in a bank.The interest rate is 8% per annum compounded quarterly. How much will I get after 5 years?

Recurring Deposits are a special kind of Term Deposits offered by banks which help people with regular incomes to deposit a fixed amount every month into their Recurring Deposit account. It is similar to making FDs of a certain amount in monthly installments.

###### Formula:

Maturity Value = P*((1+R)^N-1)/(1-(1+R)^(-1/3) )

Amount invested each month, P = Rs. 1000

Rate of interest ,R = 8%

Compounded Quarterly ,therefore rate of interest would be
R = 8% ÷4 = 8/400 = 0.02

Number of quarters over the duration of 5 years,
N = (5 X 12 months) ÷ 3 = 20 quarters.
So,
Maturity Value=1000 * ((1 + 0.02 )^20 -1) / (1- (1 + 0.02)^(-1/3))

For Ms Excel type = 1000 * ((1+ 0.02)^20-1)/(1-(1+0.02)^(-1/3))

When you press the enter key you will get
Maturity value= Rs. 73861.87

###### Q3.What is inflation? My family’s expense is Rs.10,000 or \$10,000 per month. At the inflation rate of 2% , how much will be the purchasing power of this amount after 10 years?

Inflation is defined as a sustained increase in the general level of prices for goods and services. It is measured as an annual percentage increase. With the rise in inflation , every dollar or rupee you own will buy a smaller percentage of goods or services.

The value of a rupee or dollar does not stay constant when there is inflation. The value of a rupee or dollar is observed in terms of purchasing power, which is the tangible goods that money can buy. The purchasing power of money goes down with increase in inflation.

For example, if the inflation rate is 3% annually, then theoretically a \$1 or Re.1 chocolate will cost \$1.03 or Re.1.03 in a year. After inflation, your rupee or dollar can’t buy the same goods it could beforehand.

###### Formula: Reduced Amount = Present Amount / (1+ inflation rate) ^ Number of years

= 10000/(1+2%) ^ 10
= Rs 8203 or \$8203

28Apr/13

# Which Board to choose for children -CICSE OR CBSE

You can go through the following information and choose which ever board suits your needs

###### CICSE(Council for Indian School Certificate Examination) versus CBSE(Central Board of Secondary School Examination)

•All the national level entrance exams such as IIT-JEE(Joint Entrance Examination),AIEEE(All India Engineering Entrance Exam),AIPMT(All India Pre Medical Exam) are based on CBSE syllabus while international level exams such as SAT,TOEFL are based on CICSE syllabus .

•CBSE has more compact syllabus as compared to CICSE. It is seen that number of subjects for which exams are conducted is more in CICSE than in CBSE.

•CBSE has more objective type questions and is application based and prepares children for national level exams.
CICSE has more of projects in the curriculum which helps to develop analytical thinking.

•CISCE- conducts three examinations:
Indian Certificate of Secondary Education (ICSE-Class 10th)
Indian School Certificate (ISC-Class 12)
Certificate in Vocational Education(CVE-Class 12)
CBSE – conducts two exams
All India Secondary School Exam AISSE(Class 10)
All India Senior School Certificate Exam, AISSCE ( Class 12)

•In higher classes children find it difficult to shift from CSBE to CICSE while shifting from CICSE to CBSE is easier.

Most of the parents in earlier classes put the children in CICSE so that their base becomes strong and then in higher class shift them to CBSE or State board so that they are at an advantage and get better scores.

•CICSE syllabus is recognised in many foreign schools and universities while CBSE is well recognised within the country.

•In CICSE more emphasis is laid on English as compared to CBSE.

•If the parents have transferable jobs then it is better to put the children into ICSE or CBSE .If the transfers are restricted to metros or urban areas then any of the two boards will do. But ,if transfer involves tier-2 cities it is better to choose CBSE syllabus as CICSE schools are rare.

26Mar/13

# How to keep children busy during Summer Holidays:

Summer holidays is a nice big break for children from their daily routine life. Children have a lot of time in their hand and they don’t know how to spend their time.This time can be best utilized in enhancing their skills along with giving them relaxation. Here are some activities you can look for keeping children busy during holidays:

•You can make your children join a library where they can get a lot of books to read. This will help to inculcate reading habit in them.

•Children can be introduced to photography. They can be taught and encouraged to take out photographs of animals, birds, flowers, nature etc. This will help to develop their interest in photography and they can become amateur photographers.

•Children can be encouraged to make their own comic book or they can be encouraged to author a novel. This can be an early introduction to the world of writing.

•Children can be encouraged to gain some work experience. For example,they can volunteer working in some library where they can maintaining simple record of books people are taking or they can volunteer working in some mall and deal with customers by introducing customers to products and any offers the mall is offering.

•You can take them to theatres, puppet shows or magic shows if any.

•You can introduce cooking activities for them and their friends, where they can share their recipes and try their hands on cooking. They can be made Chefs.This will help to develop culinary skills in children.

•If your children have a lot of collection of books they can run their own library or you can encourage and make a group of their friends who can run a library together.

•You can encourage your children to organize football or cricket matches.

•You along with your children can go on a long cycling adventure trip.

•You can organize mountaineering trip in a group.

•You can organize painting sessions in a group or individually you can encourage your child to paint his imaginations.

•You can arrange story telling sessions for children.

•You can take your children to amusement parks or water parks.

•You can go on a shopping trip with your children and let them handle the budgeting part.

•You can create a sand pit in your garden and introduce them to the world of sand sculptures.

•You can arrange clay for them and introduce them to clay modeling.

•You can introduce them to your holy scriptures.

• You can introduce them to meditation and yoga.

•You can make them join some classes for learning skills such as swimming, karate etc.

•You can arrange salad decoration or dressing competition for children.

•You can encourage children to display their special skills by arranging an exhibition cum sale event.

18Mar/13

# Teach your children Responsibility -Part3

###### Responsibility towards home and parents:

It is usually seen in most of the homes that children are busy watching television or playing while parents are doing all the household work.

###### Myth 1:

Parents think that the children are too small to be involved in the household work .

###### Myth 2:

Children are already doing so much of work and are so much stressed and burdened by their study schedules so why burden them more???

But, the reality is that involving children in household tasks doesn’t take much of their precious time. On the other hand, they get a change from the monotonous life style and they feel more bonded and responsible towards home.

A small sample to show the Activities and Ways to teach them resposibility

• They can be made responsible for laying down table during meals and clearing the area after meals.
• They can take up the responsibility of cutting salads and veggies.
• If your child, while sitting and happily watching television, calls you to give him a glass of water or an apple, encourage him to help himself fetch the water or wash and peel the apple for himself.
• While gardening give him some responsibility such as sowing new seeds or pruning of plants etc.
• When the child comes back from school, college etc. encourage him to keep all his belongings in proper place.
• Once a week encourage him to clean his cupboards and storage areas .He should be encouraged to keep his play area, study area and room clean.
• When someone at home is unwell or is taking rest, he should be taught to show a responsible behaviour .

14Mar/13

# KAI PO CHE- Movie Review

###### Short story:

Movie is a flashback story about three friends, who are born and brought up together in a small neighbourhood of Gujarat . The three of them dream to do something big in their lives and make a mark for themselves in the society.All of the three friends are shown in the movie to be from very humble families. One of them, Ishaan (Sushant Singh Rajput), is shown to be a district level cricket player and is shown to be an angry young man. The second one of them Govind (Rajkumar Yadav) is shown to be serious , calculative and mature person. The third one of the three Omi (Amit Sadh) is the son of priest and is shown to be a very shy person with good family values. His maternal uncle is shown to be a politician and is always ready to help Omi.

The three of them take up a place on rent from Omi’s uncle to open up their sports shop plus training academy.It starts running. Ishan finds a young talent Ali and decides to take him to next level. Meanwhile, the three of them take up a space in a big mall to open up a high end sports shop and academy, for which deposit is borrowed from Omi’s uncle.

Then, the earthquake of 2001 is shown and in this earthquake their shop in the mall is shattered and with this their dreams too. They move back to old place of work and restart meanwhile Omi is forced to enter politics due to favours taken by him from his uncle. One day a principal of a Kedriya Vidyala enters the shop and leaves her child there for some time and on returning she asks Govind , who is there in the shop , that if they supply sports materials to schools . Govind becomes very excited and says “Yes!” and also informs her that they provide training for cricket in their academy. Principal offers him to give presentation in the school showcasing whatever they do. They give presentation and succeed in getting the project of training the school children. From here their journey begins.

Meanwhile, there are some unfortunate events of riots and politics in which Ishaan dies and Omi goes to jail. At the end of movie it is shown that Govind brings his friend Omi on his release from jail to the cricket ground where Ali (the young talent whom Ishaan had dreamed to take to next level ) is seen playing in India Australia Test series and Govind is shown to be highly successful man running sports consultancy and training firm.

###### Remarks:

Story has been adopted from Chetan Bhagat’s novel “ The 3 mistakes of My Life”

###### Learnings:

• Motivates one to chase his dreams till they are fulfilled
• Motivates one to get up and fight his battle again after the fall
• Teaches how good friendships are made and carried on

Violence: Violence scenes are there (Gujarat riots are shown)

Can watch with family: Yes

Intimacy scenes: One or two scenes

Objectionable scenes: Adult intimacy is there

Suitable for age groups: 18+

Family Values: ***

Language: Hindi, Gujarati(little bit)

Ratings on motivational part: *****

Ratings :
***** Excellent
**** Good
*** Average
** Ok-Ok

06Mar/13

# How to prepare during preparatory holidays:

Students should concentrate and make the most of their study holidays or the preparatory holidays.

•The best way to prepare themselves for exams is to solve previous years question papers as though they were attempting at a real exam. This gives them confidence of attempting the exams and they don’t feel that they are doing something different while appearing for exams.

Note: This activity of solving previous years question papers should be done only after the child has covered all the syllabus and has revised all the concepts otherwise it may cause more harm than benefit.

•They should make a detailed plan as to how they are going to do the preparation. They should first target at preparing the chapters that have been marked important by their teachers and carry more weightage in terms of marks distribution in their exams. They should make time-table for themselves and maintain a checklist of the things they have already covered . Checklist will give them an insight into as to how their preparation is going on.

A word of caution: The time tables they make should be realistic and doable (it means they should be able to do things as per timetable). While making time tables they should not be overenthusiastic to overcommit themselves otherwise time table may create unnecessary stress for them.

•Students should take regular breaks while studying. Breaks can be in the form of listening to music or doing some yoga exercise or pranayama or going out for a light walk or indulging themselves in any activity except watching television or playing video games that they enjoy doing (as video games and television are addictive and once they are on it they don’t get up at the stipulated time period).

•Student should ensure that they keep stress under control , keep themselves hydrated and take appropriate diet (check on the article “ What kind of food a student should be eating” ) especially before tough exams.Students should not give up on human interaction completely as interacting with others is de-stressing.

•Students generally tend to study late hours or don’t sleep well just before the exam. This practice is not good as they may feel fatigued during the exam and may not be able to concentrate fully or use their mental energies fully during the exams.

•Students should avoid learning new concepts or chapters at this moment. They should concentrate their energies on revising all the chapters and concepts they already have done so that they are thorough with them.

•Students can take help of parents or other siblings while revising especially the important points or formulas or chemical reactions. The helper can quickly go through the material where help is required during revision and help out.

•They should be giving themselves positive affirmations such as –
“Yes, I can do it”
“I am well prepared”
“I am focused”
“I am going to do Well”

05Mar/13

# Teach your children responsibility-Part 2

Teaching Children Interpersonal Responsibility:
Teaching interpersonal responsibility means that children should be taught to take up responsibility of their behaviour while dealing with others.

Children should be taught compassion i.e. how other person feels .They should be taught to respect other person’s feelings.

Example situation 1:
Mother: Disha(sister) lost in the tournament. Do you remember when you lost in running race ?
Brother: Yes, I remember I was very sad and down.
Mother: So, what will you do?
Brother: I will give her a big hug and take her out to play.

Example situation 2 :
Brother: Mummy why is Disha so happy today? (Brother asking about his sister)
Mother: Disha won the tournament. Do you remember when you won running race ?
Brother: Yes, I remember I was very happy and escalated. I wanted to share my happiness with someone.
Mother: So, what you will do?
Brother: I will give her a big hug and celebrate her joy with her.

Teach children to be sensitive to others feelings. Teach them to share the joyous as well as sad moments of others.

Children should be taught to work responsibly in a group.
You can make a group of children.Give them some theme to work on , it could be maintenance of the garden, maintenance of cleanliness of the building or the area, or creating awareness in your area about some issues etc . Give each child a responsibility .Maintain a chart of responsibility for each child. At the end of activity put remarks or smiling or sad faces depending upon how the child discharged his part of responsibility in the group activity.

• Let the child maintain his personal dairy in which he can maintain a record of how he behaved with his peers and how he tackled problematic situations. At the end of each week you can go through the dairy and make relevant remarks or suggestions.

Children learn by observing . We being adults should demonstrate a responsible behaviour while dealing with others. We should be honest in our dealings, should be compassionate towards others.

Example situation 1:
Child : Daddy why are you going to throw that cover in the dustbin .You can throw it here, on the side of the road.
Father: Dear child, we should never litter on roads.

Example Situation 2:
Child: Why did you return money to the hawker?
Father: Dear child, hawker by mistake returned me extra money. I returned him back the extra money he had paid.

Children should be taught to deal with other people with respect. They should not discriminate others on the basis of caste, creed or class.

• While attending some class or an activity in a group, if your children are better than others or able to finish the work earlier, they should be taught not to create disturbance or distract others. Children should be taught to act responsibly when attending some class or group activity.

Children should be taught self control when dealing with others. Self control means showing responsible behaviour towards others.

Children should be taught to be honest and not mislead others by telling lies or manipulating the truth. This is very important for creating an environment based on trust.

26Feb/13

# Teach your children responsibility – Part 1

As parents we should strive at teaching responsibility to our children very early in life. We should help them to grow up as responsible adults. There are different levels of responsibility-
• responsibility at personal level(personal responsibility)

• responsibility in dealing with others(interpersonal responsibility)

• responsibility towards home and parents

• responsibility towards society and country

Personal responsibility:
Children should be taught to take up personal responsibility.

• Let them make choices and teach them to live by their choices. Initially, they may be guided on how to make choices and slowly they should be left on their own. Choices given should be limited. Start by giving them little choices such as the choice to select menus on family outings, let them select what clothes they want to wear when going out on an occasion etc.

• They should be taught to own up the responsibility of their actions. They should never be encouraged to make others as scapegoats for the results of their actions or choices.

• They should be taught to take up the responsibility of their health and well being .

• They should be taught to take up the responsibility of doing their homeworks in time. Initially parents can be around guiding them to do their homeworks in time but slowly the responsibility of doing their homeworks should be shifted to children.

• They should be taught to take up responsibility for their exams preparation and take up the responsibility of their results henceforth.

• They should be taught to take up the responsibility of keeping their work area clean.

Tools that can be used as measures of responsibility quotient of children:

• Charts can be maintained. These charts should be pasted in the visible areas where children can see them now and then but should be kept out of sight of outside people.

• Table of their responsibility areas should be maintained and should be regularly updated with appropriate remarks after keen observation. At the end of one week or one month their responsibility quotient should be evaluated and they should be made aware of it.

Results of not accepting personal responsibility:
Children who are not taught to take up their personal responsibility
• don’t succeed much in life
• are highly dependent on others for their views
• grow up as emotionally weak personalities

Thought process of children who are not taught to take up their personal responsibility
• Life is unfair
• Someone else is responsible for their actions
• They always look for the reasons for their failures outside and never have the courage to look inside
• Always looking up for someone to help them out

Some Famous quotes on Responsibility

In the long run we shape our lives, and we shape ourselves. The process never ends until we die. And the choices we make are our own responsibility.
Eleanore Roosevelt

If you take responsibility of yourself you will develop hunger to accomplish your dreams.
Les Brown

A hero is someone who understands the responsibility that comes with his freedom.
Bob Dylan

The greatest day in your life and mine is when we take total responsibility for our attitudes. That’s the day we truly grow up.
John C .Maxwell

You must take personal responsibility.You can not change the circumstances,seasons or the wind, but you can change yourself.That is something you have charge of.
Jim Rohn

Accept the responsibility for your life.Know that it is you who will get you where you want to go,no one else.
Les Brown