From Birth you need to plan to pay for your Childs education
From the first moment that you fall pregnant, you begin to ponder the families finances. If you have been working, you begin to wonder how far into the pregnancy you will continue to work and earn money. You might also consider how much money you can claim from Centrelink to help support your new little family.
Whether you choose to send your child to childcare where you pay a gap payment and then an independent school or to the local government school, you will need to pay some costs during their high schooling.
Private School can be really expensive, on top of the School fees you will also have to consider stationary of approx $250 a year and Uniforms
The table below provides cost estimates for educating a child in each sector, assuming that they remain in the same sector from pre-school through to Year 12. (note: this is subject to change)
My top tip is to begin to put a little money aside on a regular basis, you will be able to build up considerable funds that may assist your family when the bigger costs arise.
Birthday Savings: Although you can not set up an account until your baby is actually born, you can spread the word that you plan to. The most effective way to save is to set up a direct debit from your current account. This steady drip-feed of funds will slowly accrue into something very helpful. It may be best to look into a long-term deposit account for higher interest rates.
Turn your Trash into Cash: How many time have you been grateful to receive a gift but know that you may not have a use for it. Don’t discard these items or gift them away when you could sell them on one of the many second-hand marketplaces available on Facebook.
You may also like to encourage your family and friends to give cash for their Christening or Naming day gift if you choose to have one.
Save your Pocket money: As your children get older, encourage them to start completing home duties to help Mum or Dad and to save money of their own.
Perhaps agree to allocate 20% towards a possible University education.
You can even encourage your child to do odd jobs for neighbours whom you trust.
Consider extra curricular activities as they add up : You may be a little naive to how all those piano lessons, speech therapy or dance classes can add up so let’s be clear, you need to budget for these items as they can get expensive.
To give you an idea my daughter’s activities look like this
- Dance tap and Jazz $2K a year
- Speech Therapy $50 a week for perhaps 10 weeks upwards
- Piano lessons at School – $1300 a year
and then I need to add my sons extra curricular activities of Guitar lessons and BMX Club.
Whatever you choose to do, be mindful that money does not grow on trees and kids cost.
My hope is that this will encourage you to follow some of this advice and save for School from that very start.