Among the most rewarding things in life is parenting. And as a parent, you always want to provide the best for your child. It is a fun thing to indulge your kids with expensive things. However, it is important to save for their education too. With knowledge comes freedom in life. But, it also may bring about massive students loans that may take a lifetime to pay. This is why Elizabeth English of Archer presents you with this tried and tested advice on how to fund your child’s education.
1. What is your plan for your child’s education?
Saving enables your kids to have a good start in life. This is why it is necessary to teach them money manners when they are still young. Saving is a good habit to inculcate in your children. It is, therefore, good to start them out with a savings account when they are still young.
2. Figure out your child’s needs at every stage
Nursery and Daycare education can be very expensive since they lay the foundation for your child’s education. So, carry out a thorough research on the best schools at affordable prices that can cater to your child’s needs.
3. Consult your HR department
Many companies offer education allowances for their personnel’s children. You need to claim these if they are available.
4. Plan for your child’s adulthood
Ask yourself whether your kids will go to university, and if they hope to get a degree. These programs need funds. If not, they may require students loans.
5. Consider overseas studies
American universities are the most expensive in the world. You may end up paying up to $50,000 per year at a reputable university. By the time your child enters higher studies, you may have entered the final stages of your career, or you may be considering retirement. At this time, you may not want to enter into more expenses.
6. Keep track of the residency requirements
Some states require you to have up to three years proof of residency before enrolling in a university. If you don’t fulfill the requirements, you may be subject to foreign students tuition rates that are often higher than the resident rates.
7. Start early
You need to plan beforehand and start saving early for your child’s education to achieve the desired amount of money for further education without worries. When you start saving early, it makes the task of funding their studies easier. Just tread one step at a time.
8. Be realistic
If you are not financially savvy, you may have to seek the help of a financial planner to discuss the reasonable amount to save for your child’s education.
9. Seek for a tax break
Inquire if you qualify for tax exemption for tuition fees for your child. If you do, you need to take advantage of these.
10. Teach your youngsters to manage their finances
If your child is a first-timer in the university, he or she needs to learn about budgeting. The money habits of the young people are often influenced by the financial habits of their parents.
Education is a fundamental requirement for the life of your child. This is why you need to figure out your goal for your child’s education and then create a concrete plan for financing your child’s education. You also need to teach your child good financial habits to help them in managing their finances when they are grown.
