Education inflation (currently at 9%) is one of the reasons many of us struggle to save enough to cover the cost of school and university fees (and all those extras). Add to that the cost of uniforms, sports gear, music lessons and for some, extra maths and science lessons and you're looking at a rather daunting sum.
Make your money work for you! You want to be able to invest your money where you can get inflation-beating returns. That means investing it in a savings vehicle that provides capital growth (that’s growth for your money) over the medium- to long-term. The more time you have to invest your money the more time it has to grow.
While we can’t predict what your education fund is going to deliver in the future we can look back and tell you what the results could have been. Sindi’s parents started saving R250 every month in the Old Mutual Investors’ Fund shortly after she was born 19 years ago. They now have R219 000 to pay for Sindi’s BCom degree at the University of Cape Town*.
(*Source: R250/month in the Old Mutual Investors’ Fund Class R; 31.03.2000 – 31.03.2019)