Why saving for your child’s education early is crucial

Every parent’s dream is to be able to provide what their child needs as they journey through life. This includes providing quality education. While the cost of education differs one country to another, there is no doubt that the Government of Kenya has placed tremendous effort in making education at the primary and secondary level more accessible. The free primary education policy introduced in 2003 has lead to higher transitions of pupils joining secondary schools over the years. The current government 100 per cent transition policy into secondary school means that the over one million pupils that completed their Kenya Certificate of Primary Education for the year 2020 have the opportunity to continue enjoying their education journey.

Government subsidy on fees enjoyed by parents today has made high school education more affordable. The fact however is that even as the government places all efforts in making education affordable, parents still have to part with some money in order to educate their children through high school.

The annual fees for a public high school at national level is about fifty three thousand shillings. Education in higher learning institutions demands much more from the parent, especially since there are many factors to put into consideration. On average, a parent may have to part with two hundred thousand shillings a year in order to cover for full year college fees and related costs such as accommodation. The amount will differ depending on the education program and institution, with majority of private universities known to cost higher than public institutions.

Simply put, although getting a good education is much easier today, one cannot ignore the cost. A carefully designed education policy presents a solution to any parent or guardian with big dreams for their children. Contrary to what some people believe, having an education policy that works for you is easy. A good insurer will take the time to understand the parent’s expectation and work out a plan that will best suit the parent, and ultimately realise that dream.

In particular, having an education policy for your child while they are still young stands out as the best approach. The reason being it will mean utilising the opportunity to save more for a longer period. This not only allows you to manage your daily finances, it also paints a picture of what you can help your children achieve as they progress through their education journey. As the savings accumulate over the years, the financial burden of educating your child from one level to the next is no longer there. A well-designed policy will match your needs, ensuring that funds are accessible at the right time during your child’s education. In the unfortunate case of a parent’s demise, the insurer will then shoulder the burden and cover the child’s education. The journey then becomes a shared responsibility between the insurer and the insured.

The current situation in the country resulting from the effects of a global pandemic continues to show us how important it is to plan for emergencies and the future. Although access to basic quality education remains the government’s responsibility, the dream to see your child succeed will require much more.

In essence, it will mean having a fresh look at personal financial management to feature planning for your child’s education as a now item rather than saving it for later. The prize for buying an education policy for your child early in life is financial freedom. The joy it brings thereafter once the dream is realised, is immeasurable.

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