Education Fees Planning


The Underlying Costs to get them to adulthood.

One of the greatest gifts parents can give their children is a good education. Providing them with the best possible start in life in an increasingly competitive world is more valuable than ever.

Children are expensive. We hear this all the time from any parent of any child. There is no getting away from the fact that if you start a family your entire life changes in almost every way. For many, their upper most thoughts are the facts that their social life will transform to something new; there will be sleepless nights, whilst changing diapers and feeding become seemingly 24/7 tasks which quickly turn into tiresome chores. Then there is the constant care a family require from toddler stage when they need help to walk, through the first school, first night away, secondary school, first boyfriend/girlfriend, leaving home for university or just to be independent.

During the earlier years parents seem to concentrate on the near term when looking forward, for perhaps no more than a year or two. They lose sight of the far distance and the possible serious difficulties they may face jointly with their children in the future.

Some recent newspaper articles have mentioned the cost of tertiary education for children of expats and Russian citizens. There were also questions and comments about other issues children face and where parents often find themselves helpless. These include getting onto the property ladder or setting up home and having a family of their own. This has created some questions on how to best forward plan for university costs as well as these other issues.

Most parents want the best there is for their children. If they have the means they will often assist their children as much as they can, even when it is done in a sensible way and the children are very appreciative. We all know that the harder we work for something of our own the more we sincerely appreciate it. Thus when children of the modern parent participate jointly with their parents in plans for the future they surely learn how to appreciate and value this.

Many parents do not think as far as tertiary education when the children are young and often allow the children to miss the boat in that they simply do not have the means to contribute to the costs of university when the time comes. But if you start early it is amazing just how much you can contribute to this important phase of their lives.

With school fees rising on average four times the rate of inflation, an integral part of a bespoke education plan is the investment element. That’s to say, with the inflation rate on education considerably more than inflation, it is highly advisable that you invest for it, not save in the traditional sense. Deciding on an affordable amount to invest, in line with your objectives, is key in reaching your set target.

Consequently, it is essential to begin planning for this expense as early as possible, particularly if you have more than one child.

Initially, find out how much the university fees will actually cost. Depending on where your child wishes to study, this can vary considerably. Second, start saving regularly. Consistent, affordable monthly payments over an 18-year period placed into a dedicated savings plan could enable you to reach your target relatively easily.
Third, enjoy the tax advantages of being an expatriate. Exclusive tax efficient investment opportunities allow expats to raise the necessary funds for their child to study at their chosen university.
Today typical tertiary education costs for students in Europe or USA will total around USD 35,000 pa including basic living costs. Thus with inflation when your child of say one year gets to the point where he or she will start university, in seventeen years’ time, the costs will be somewhere above USD 115,000 per year.

By starting early you can assist your children in more ways than you perhaps have imagined. This could enable them to have a better life than they would have and they can learn to appreciate this as they can participate along with the plans so that they feel part of the overall strategy.

Higher education

Funding their child’s education can be expensive, and it is an expense that is continually rising. In certain cases, even if employers finance a child’s schooling, it is unlikely they will continue to do so when it comes to university fees. Therefore, being financially prepared is crucial.

As the children become older the problem just gets bigger and more expensive to solve. As a responsible loving parent you have a duty to start dealing with this now?

Have you started the life plan for your child or are you still drifting along in blissful ignorance?


CGI consultants will prepare a full education fee planning solution for your child and in conjunction with our UK education consultancy division we can also assist our clients in the placement of their children to Uk schools and Universities.