Common Misconceptions: Children's Higher Education
Given the uprise in the Children’s higher education fee, it’s imperative to have an early savings plan to accommodate our children to a good university in the future.
- My child is too young.
- I have enough time.
- I am not going to need the money in the near future.
- I can plan it later.
- Not considering it as important or urgent as other commitments.
The above scenarios are very common and often we are defied by them and don’t realize the importance and urgency to start a savings plan for our children as early as possible. On the contrary, we usually tend to do the opposite and attend to it when it’s too late. It is not plausible or pocket-friendly for everyone to arrange a large sum of money such as the children’s higher education fee in a few days or months.
One of our recently-acquired clients remembers how their parents were desperate and had to sell some of their ancestral lands to pay for his college fees. Though they wouldn’t have needed to do that, had they initiated a savings plan dedicated solely to my higher education fee when I was probably in primary school. This would have given a broader time frame like 10 to 15 years and he could have contributed a little amount every month towards my higher education as opposed to arranging a large amount in a very short period.
If your children are below the age of 10 or 12 years then you have a window of anything between 5 to 15 years before they are qualified to get into a college. The more time you have, the lesser amount you may be required to contribute monthly and by the time your children are ready to join the college, you’ll be all set financially to fund it.
A good college or a university will serve as a benchmark for your children’s career path. It will help them with the confidence they’ll need to be competitive enough to crack a good career. And depriving them of this opportunity may cost them all the hard work that they’ve done in school and may also force them to an inferior career choice.
I’m sure you love your children just too much to have failed in providing for their higher education. I’m sure you would like nothing less than the best for them to achieve in their lives. Initiate a savings plan for your child today.