Step-by-step guide to saving for your child’s education
A 10-point plan to ensure that you have enough for your children’s needs.
2018 is around the corner and while we’re planning for the summer holidays, we should devote some time to ensuring that we manage our expenses in the New Year.
Education has become a costly affair and requires much thought and consideration.
“Besides the normal school fees, parents need to fork out extra for uniforms, stationery, extracurricular activities, and excursions, to mention just a few.
This sometimes puts strain on parents’ pockets; especially if these expenses are not planned for,” said Ester Ochse, FNB Product Specialist.
Ester believes that saving for long-term goals such as education should be a key objective for everyone.
She highlights her 10-point plan to ensure that you have enough for your children’s needs:
1. Research
Choosing a good school for your child is never easy and requires research. Some of the key factors that you need to consider are:
• Location
• Accessibility – can you get to the school quickly if there is a problem?
• Cost: Is it affordable for you and your family?
2. Save now!
It’s never too late to start saving for education. Be it for crèche, nursery, primary or tertiary education, we need to ensure that we save enough so that our children receive the best education possible. Even a minimum amount of R300 per month will help your children reap benefits in the future.
3. Draw up a savings plan
If saving is difficult for you, then look at Savings Accounts or Unit Trusts that offer you great interest and Return on Investment. FNB offers a wide range of Savings Accounts which give you the option of accessing your funds now or later.
4. Choice: Private vs Public schools
This is dependent on your budget and preference. Some parents prefer their children to attend boarding schools while others prefer the private schooling route. Whichever option you choose, ensure that the school is a good fit for your children and they are comfortable with the space, environment, teacher and other children.
5. Work on your budget
Ensure that your budget is up to date and that you are not overspending in places where you don’t need to. Rather predetermine what schooling expenses you think may come up and add this to your budget. There are many budget templates that you can access that will help guide you through the process.
6. Fees
These include tuition, school, and medical fees, to mention a few. We cannot avoid these costs and they will creep up on us at some point in the schooling journey.
7. General school expenses
Day-to-day school expenses will not end and will add to your budget quite dramatically. Many schools expect children to partake in extracurricular activities like netball, chess, or modern dance – but most of these activities have related costs. However, ensure that you understand what your child enjoys doing before enrolling them in a class. This will leave you with a happy and healthy child without putting a strain on your budget.
8. Having a Nanny
With the increase in cost of living, we find that most parents in many households need to work to sustain their current lifestyles. With this mind and given that you cannot be in two places at once, you may need help at home to look after your children during the day. This also comes at a cost, but at least you know that your child is well looked after.
9. Text books
Recycle and get your children’s text books via a second-hand shop or a family friend who has just completed the course or grade. This will help reduce your costs immensely.
10. Uniforms
Today, schools require that students have both a summer and a winter uniform, which becomes expensive. Instead of buying new, go to the school’s second-hand shop and purchase the uniform there. In addition, buy a bigger size so that the kids can use their uniforms for more than one year.
“Education is a must, and while school expenses are high, we should ensure that we save appropriately so that our children get the best possible education ever,” said Ester in closing.
Do you perhaps have more information pertaining to this story? Email us at randfonteinherald@caxton.co.za (please remember to include your contact details in the email) or phone us on 011 693 3671.
For free daily local news on the West Rand, also visit our sister newspaper websites
Remember to visit our Facebook, Twitter and Instagram pages to let your voice be heard!
