Develop a plan to save for a child’s education?
With the cost of higher education rising each year, many families are struggling to save enough to help their children get through school. Surveys show that the average family pays 30% of their children’s post-secondary costs. With some programs today costing 1,25,000.00 yearly only for primary education for a year and more, that can be a big part of your savings. How do you get ready?
Three steps to planning your education savings:
Step 1: Set some realistic goals.
For example, will you pay all of the cost, or will your children also help by getting jobs or taking out student loans?
Step 2: Calculate what you need to (or can) save each year
If you have a new baby, you may find you can pay education need just by saving 2000.00 a month until they turn 18.
Step 3: Choose your investment strategy
Depending on your situation, you may choose to be more aggressive in the early years. Then, as your child finishes high school, you may want to move your money into more conservative investments.
Need more help?
We’ve developed some helpful tips to assist you with your planning. It’s important to plan a savings strategy just as you would plan to save for a home or for retirement.
Remember: Life, and your savings plan, may change over the years.
You’ll be more likely to save enough for your child’s education if you start with some clear goals. We at Imperial Finsol can help you create a detail and comprehensive and precision plan, and then adjust it as you save and invest over the years.