Yes, You Can Finance Children’s Education.
A finance plan for your children’s education would not only reduce the burden of education expenses but guarantee that your child’s education will go uninterrupted while it lasts.
The reasonable questions to ask at this point would be, how can I finance my children’s education despite tough times? How can I ensure my kids’ education is not cut-short at any point in time?
Below are some 5 smart ways loving parents can finance children’s education even through tough times without any interruption:
1. Start Saving:
There’s no better way to financially prepare for your child’s education than saving for it. But at what point should parents start saving for their children’s education? it would be best to start saving for your child/ward’s education as soon as possible; for the earlier you start to plan for your child’s education, the longer you’ll have to build a pot of funds to cover all the costs.
An early start also gives you the greatest possible flexibility in fulfilling your child’s needs, while a late start may result in either having to put aside a greater monthly involvement, or worse, not having adequate funds to provide the education you desire for your child.
So if you want to finance your children through school, come what may, the best time to start saving was yesterday, the next best time is today!
2. Have a Budget:
It is important that you don’t bite more than you can chew as a parent. Know your financial strength. It is never wise to try to impress neighbours with your child’s school. We’ve seen many parents who incurred huge debts because they wanted their children to attend schools that their neighbours’ children attended. That could be very dangerous.
In what way can you arrange a simple budget for your child’s education? Here are some practical advice:
• Write down all your monthly income and expenses such as house rent, household maintenance, utility bills etc. viz-a-viz.
• Ask yourself, ‘how much can I set aside for my child’s education?’
• In your budgeting, bear in mind that the cost of a child’s education is beyond tuition fee. Tuition fee is only one-third of the total annual cost for your child’s education. In addition to tuition, add the costs of books, uniforms, extra-curricular activities and other expenses such as travel expenses during holidays if your child has picked a foreign education.
• When approximating the cost of your child’s education most especially for tertiary education, also deliberate over how much the living expenses might be.
3. Take advantage of Scholarships, Bursaries and Grants
If your child is a brilliant kid, there’s a possibility for such child to enjoy scholarship, bursary or grant for his education. A lot of schools and foundations offer scholarships for academic, sports, musical or all-round excellence.
Scholarships range in value but rarely cover all the fees. Some schools and governments also have bursaries and grants to help parents pay their fees. In some African countries, these are often awarded to families with lower income.
Be on the lookout for these opportunities, and don’t hesitate to take advantage of scholarships, grants and bursaries whenever they are available
4. Learn to Prioritize:
When it comes to funding their children’s education, a lot of parents don’t make it the utmost priority.
As a loving parent, you should learn and know what’s paramount in your child’s education and avoid spending on luxuries when you cannot afford them. For instance, you might need to reduce how much you spend on holiday trips, children’s amusement parks or unnecessary wears etc.
With the cost of education skyrocketing in these hard times, it is imperative that parents who do not want to gamble with their children’s education put up a good financial plan.
5. Leverage Education Finance:
We’ve also observed that many parents in Africa aren’t aware of different education financing options and opportunities offered by different financial institutions. A few of these options are Loans, Insurance Policies, Trust Funds etc. We strongly advise parents to consult their financial partners like Banks, Insurance Companies, Funds Managers etc