School costs more years of increasingly expensive. Because of that, the education budget should be prepared as early as possible.
Planning funds for schools should ideally be done until the child goes to college. Of course, taking also into account whether the child would someday go to college public, private, or even abroad. Taking into account when choosing majors exact sciences, especially engineering or medicine, because the cost is more expensive than social or humanities majors.
The key to success is very simple set up education funds. So start preparing now and do it consistently over a period of time that is required. Again start now, do not put it off next week, next month, let alone next year.
Start early benefit of the amount of funds to be set aside each month to achieve the desired total funds.
SIMULATED CALCULATING EDUCATION FUND
If you want to prepare an educational fund for the baby, the most important thing is doing the calculations of how the estimated total cost of education. Thus, it will be easier for parents to set a strategy in order to be ready when the time comes.
SOLUTION PRODUCTS EDUCATION FUND
Once we know the needs of children’s education fund, the next step is to determine the appropriate financial products in order to achieve our desired goals.
Education insurance, we inevitably will be disciplined to set aside earnings for the education of children. No protection as one of its benefits. For example, if a parent dies or has a disability, the insurance company will still pay the education fund for the insured, in this case children.
When a new insurance membership is done when the child is in kindergarten or even elementary school, the premium must be paid auto insurance is higher than the planned since the children aged 0 years. So, the earlier take insurance premiums will be cheaper. Even if the annual premium payment is considered burdensome, the insurer may be changing the way through the installment payments semiannually, quarterly, or monthly.
Unfortunately, many parents take out insurance education without knowing first what are the estimated costs of his future education. The money base that would be acceptable, but the amount is generally not sufficient to bear the cost of education the child later. When this happens, we can cover the shortcomings with two options. First, cover the difference by saving his own; second, enlarge the coverage is so sufficient funds to pay for education.
In principle, this product is similar to insurance education, both in the way of payment as well as tranches of funding education. Only these products issued by banks. Of these savings, customers also will benefit from interest savings generally exceed the interest rate for this type of regular savings.
Bankers tend to cooperate with the insurer in order to provide protection to customers. Thus, if suddenly the parents died or suffered permanent disability, the bank organizers will take over the obligation to save the savings deposit every month until the contract ended and the children have accumulated savings.
Ideally it’s education fund set up since child aged 0 years or even still in the womb. However, no means too late when we begin to prepare for when the child was four years old, for example. However, the amount of money to save each month to be bigger because of the deadlines narrower.
Remember, calculate the cost of education does not mean only counting the money base / go to school, but also other costs such as uniforms, money activities, needs books and other school supplies in addition to the monthly fee.
Well, now you’ve got information about calculating the cost requirements of education, we hope all of you can begin to float savings plans for education needs through banking and insurance products. Both of these products can help us prepare the educational needs of increasingly expensive.