If you think an education is expensive try unemployment. As parents we all want to ensure our children have the best opportunities in life. You can’t start planning for their future in the future, time lost cannot be gained. The job market is most competitive so arming our children with an education will place them in the direction that will assist them in developing their career and securing their future. However a tertiary education does not come cheap because besides the actual university or college fees, one must also factor in the costs of travel, accommodation, food, etc.

A qualified planner should be able to assist you in determining the amount you need to invest to attain your future objectives. However, due to budget constraints it may be that you are only able to set aside limited funds, I really believe something is better than nothing so commit to savings as soon as possible. The longer you take to begin an education plan the more funds you will have to contribute and the less time you will have.

If it means forfeiting unnecessary luxuries now so that your children stand a chance for a brighter future, then make the sacrifice! For your educational plan, appropriate funds should be suitable for the time factors especially if it is long term. Fixed deposits with capital and return guarantees, money markets and cash investments run the risk of inflation eroding the purchasing power. Your financial planner will assist in managing risk and explaining the options that will best suit your objective.

If you do not have adequate cover in the event of your death, sickness or disability that also caters for your children’s tertiary expenses amongst other things then you may include a disability and death premium waiver.
Another aspect of education savings is catering for your child’s primary and secondary schooling financial needs. With the costs of books, uniforms, fees, etc. setting aside provisions is a wise option indeed.

I often joke that when the baby is born mum and dad should leave the hospital with their precious bundle of joy AND an educational savings plan! Do your homework and enquire from universities, colleges and schools about the costs involved, speak to other parents and/or meet with your planner and start saving now especially if you have hopes and dreams for your child’s success in the future!