JAYI ISEGHE
It is no longer news that virtually all schools in Nigeria would be commencing a new session in September and parents must be ready to settle all their children school bills including the ones outstanding if there is any before the resumption date.
However, some schools in their magnanimity can extend the date of payment of all bills and failure to meet the closing date may not be accepted. This, of course, will certainly put several parents under financial pressure particularly if the money is not available either due to the type of school they registered their wards or lack of proper planning.
That is why it is necessary for parents to consider their financial wellbeing before registering their children in private schools that are expensive to avoid financial heartache. But, some parents have this funny notion that the kind of school their child attends determines their financial prowess.
However, it is vital for every parent to have a monetary plan that will enable him or her to set aside a specific amount of money for school fees to avoid financial stress especially when it is time to make payments for a new school session.
It is indisputable that education is the right of every child and the best legacy any good parent can give to his or her children regardless of the economic situation. But, it is not obligatory to put your children in costly private schools that are beyond your means. You need to be yourself if you really desire financial peace of mind in this unfavourable economy.
Do you know that because of the importance of education, both the federal and state governments ensure that education is funded at all levels to enable every child to acquire knowledge at a reduced rate? Public schools are good option because they are owned by both state and federal governments. Their teachers are qualified; school fees are inexpensive and affordable to everyone.
The under listed tips will help you to pay your children school fees without stress:
Set Up Target Savings Account
Setting up a target savings account when the child is young means that you have a number of years to build up your savings. And in achieving that, money can be set aside into that account for the child’s education.
That is why there is need to start saving early for your children’s education and some parents do that when they are born such that monetary gifts are put in a separate account for them.
Parents and guardians who have the responsibility of paying school fees should rather than buying big Christmas gifts or birthday presents always try to put some money away on a regular basis which could be daily, weekly or monthly towards their children or ward education. It is imperative you review your budget regularly as the financial situation improves. For instance, you may have a pay rise which can allow you to save more.
Know Your Financial Strength
It is vital to have a budget so that you can actually track your expenses. With a budget you are able to have a glimpse of money that comes in and go out. Saving for your children’s school fees can only be more effective when you have an inkling of your expenses and match it with your income so as to know if you can set aside certain amount of money to a dedicated account for their school fees.
Besides, having a budget enables you to have a grip on your money such that savings can be accommodated or made possible. That is why, it is important that after opening an account dedicated principally to your children’s education, you should also know your budget and your financial strength and competence. Mind you, saving children school fees or education is a long-term project and once you key into it, the better for you financially.
Prioritise Things
You must try as much as possible to learn to prioritise things especially in the area of your children’s education. Under no condition, must it be compromised because it is an important priority. Also, you must learn to live within your income. For example, if your children’s school fees per term is more than 50% of your monthly earnings, then you have fundamentally invited hardship and borrowing for yourself because survival will be certainly tough.
Therefore, you need to set your priorities right and in doing that you may need to cut down on some of your expenses and luxuries so that you can concentrate on your children’s education. Moreover, avoid spending on things you can totally do without like overseas vacations, weekend getaways and other unnecessary expenses.
Have An Investment Plan
You can try to do a calculation of the total cost and it does not have to be exact but you can do a rough estimate just to have an idea of the cost. With this, you can have a plan on how much you have to save each month. Also, with the cost of education mounting, comfortably affording our children’s school and tertiary education fees requires careful budgeting. As with any investment plan, the sooner you start putting money aside, the longer you would have your money work for you.
Avoid Debts
The repercussions of not planning sometimes may coerce you to go for a loan and use it to finance your children education which can be avoided if properly planned. Although, the power of compound interest works in your favour when you invest, the same scheme works against you when you borrow and makes credit the most expensive option especially if you are making use of an unsecured personal loan.
Save Regularly
Opening an account is a good start but constant servicing or putting money in to the savings account is very important, as it would yield good results particularly when confronted with financial challenges in the area of school fees. Therefore, it is vital to save regularly so that you can have money to finance your children’s education. You may think that putting a large chunk of money into your children’s education every year would do the magic but things may go wrong along the line such that the money may not be forthcoming. So, it is reasonable to save regularly and consistently. This signifies that you need to dedicate ample amount or what you can afford each month.
Explore Other Means Of Boosting Your Income
Try as much as possible to explore other means of boosting your monthly earnings if you really desire quality life and education for your family. For instance, if you are good at trading, you can venture into buying and selling business to fund the school of your dream for your children.
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