How Do You Save Or Plan To Save For Your Children’s Education?

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Parenting is a tough job and it has no retirement age, isn’t it? If you have newly become a mom or a dad to a beautiful child, there must be thousands of thoughts running through your mind all the time. One of the most vital thoughts which engulf all the parents across the world is the future of their children and how to secure their future, am I right? Every parent wants to provide the best education and facilities to their child at all costs. But the cost of education is rising so rapidly that it is becoming a thing to worry for every parent.

An Education Plan can be a savior in this scenario. If you are worried about how to save for your child’s university or an MBA course from a top tier school in Singapore, you may want to  take a look at options like the different education saving plans offered by most  insurance companies.

Paying such hefty amount is not something all parents can afford. Therefore, planning to save for your children’s education from the early years can help a great deal. No one can be certain about the stability of their income or their finances in the future unless they have saved consistently on a reliable platform.

What is a Child Education Saving Plan?

Child education scheme or plans are those insurance options which you could purchase to save for your children’s education. These schemes provide both financial security and savings options for the future of your child.

Have you ever thought about your child’s education in case of any mishap or sudden demise of yours or the breadwinner of the family? Education plans can help to fill the financial gap in such a situation. It can provide the financial security to the child as education funds when they need it.

Do you need a child education plan?

Parent dream about their children’s future from the very moment they conceive the child. But the problem with most of us is we usually imagine about the good moments like what they will achieve etc… We overlook on the chances of any trouble which may hinder their studies due to unforeseen situations. If you are a parent of a toddler, by now you should be making plans for your child’s unstoppable dreams and a future without facing any financial difficulty.

On the other hand, if you take a look at few of the major streams of studies in Singapore and the best universities and colleges, you will find –

  • An MBA costing you around S$55,000 and above;
  • MBBA costing around S$65,000 and more;
  • Engineering degrees costing over S$35,000.

Aren’t those abovementioned figures make you a little worried? But those are the current fees for the degrees. If you are a parent to 5 years old at present, an MBA might cost you around $90,000 and above when your child reaches the required age for pursuing Master degrees.

Benefits of Child Education Plan

There are certain major benefits of buying a child education plan which you should never ignore.

  • Corpus: Even if you pay a nominal premium per month or in a year, you can achieve the required lump sum money at the maturity of the scheme. It is observed that even with minimum premium, you can cover the tuition fees and other fees of higher studies of your child in Singapore.
  • Acts as a security or collateral: When applying for an educational loan in the future, you can use this insurance as collateral.
  • Financial security: In the case of the unfortunate events, your child can be financial secured and there won’t be any hindrance in his or her studies due to the financial The amount paid in case of demise of the child’s parent/s is lump sum money which can be used for the child’s education and upbringing.

Education is a pre-requisite for living a better life and pursuing one’s dreams, you cannot compromise with your child’s education. It is better to plan early and save early to secure your child’s future.