The earlier the better! The best time for education planning is around the time your child is born. That way you have lots of years ahead of you to save money in an education fund. If you didn’t start saving for education when your child was born then the next best time to start is now. Pre-school, primary school, high school and any tertiary education is going to cost money. The trick is not to let the figures scare you.
You’ll probably be able to absorb the school fees in your monthly budget so just focus on saving whatever amount you can on a regular basis. And, if you do run into difficulties you can simply stop your debit order and restart it again when you can (if you invest in a tax free account or unit trust). You don’t lose your money. Or, if you have a policy you can make it “paid up” which simply means you can stop contributing and leave the policy until the end of the investment term.
3 THINGS YOU SHOULD KNOW ABOUT SAVING FOR YOUR CHILD'S EDUCATION
According to Priya Naicker, Advice Manager at Old Mutual Personal Finance, education is one of the most valuable gifts a parent can give their child. But 56% of urban South African parents are not actively saving for their children’s education. She says there are three things you should know about saving for your child's education. Find out what they are here.