5 Ways to Help Fund Your Kids’ Education
As parents you work hard to provide your kids with the best educational opportunities that money can buy. Your desire is for them to attend schools of the highest calibre and enrol at one of the top universities to pursue their dreams. But sometimes it’s easier said than done. Education comes at a hefty price and it may not always be within your means to provide a learning experience of top quality for your kids. Here are ways to assist in that regard:
1. Savings Plan
Open up a savings account that is reserved for your child’s educational purposes. If you have more than one child open up an account for each child. Slot these savings accounts into your monthly budget in order to make monthly contributions to the accounts. By consistently making deposits into these accounts you would accumulate a substantial amount of money that can be used for annual school expenses. This savings account can also act as a reserve for all those additional expenses that comes with your child’s education such as registration fees, uniforms, school outings, stationary etc.
2. Education Fund
This is a great way to invest in your children’s future. The education fund is designed to cater for long term educational goals such funding your child’s tertiary education, however, financial institutions do make provision for short term educational needs with part withdrawal options. With minimum contributions ranging from R150, education funds are more accessible and easy to maintain. However, the bigger your contribution towards the education fund, the better opportunities you are able to provide your child with. Speak to a financial advisor for options that is customized to your plan and budget.
Various corporations and organizations offer bursaries to both school students and youth studying at tertiary institutions as part of their corporate social investment strategies. A bursary normally covers tuition, accommodation, and learning material. The value of a bursary varies and the student is liable for any excess cost that the bursary does not cover. Funding through a bursary could be beneficial to your child as the company who provides it would give bursary holders first preference for opportunities within the company. However, bursaries are only awarded to students who excel academically. Therefore, students need to maintain high standards with regard to their academic performance in order to qualify for a bursary.
4. Financial Aid
The National Student Financial Aid Scheme provides funding for financially disadvantaged students who are registered at public universities and FET colleges. This fund covers tuition and provides travel and book allowances at a fixed amount - any additional cost should be settled by the student. Funding from NSFAS is treated as loan but a percentage gets converted into a bursary based on a student’s academic performance. The student is only liable to repay the balance, at a reasonable interest rate, once he/she is employed.
Hold garage sales to get rid of unwanted items in your home and deposit the money made from it into your child’s educational fund or savings account. If you love organizing and hosting events, get together with other parents to organize themed parties. The profits can either be split amongst everyone involved or can be used to cover the cost of trips and outings that the school organizes for pupils.