A child’s education is one of the biggest financial commitments that many parents will ever take on. From school fees and extra-curricular activities, all the way through to university tuition and maintenance costs, a clear strategy is essential for managing the financial outgo. This article introduces cashflow modelling and explains how it can help create a sustainable plan for educational costs.
The cost of education
Every parent knows that a child’s education is a priceless gift. However, financing school and university costs can quickly become expensive.
School fees are only one aspect of the total price of education. In addition to regular fees, parents need to take into account school trips and uniforms. After adding on all the extra-curricular activities such as music lessons, sports and drama clubs, the total outlay can soon rack up.
In recent years, the cost of private schooling has continued to rise. With the VAT exemption for independent schools now removed, the financial burden on parents is only going one way. This makes it more important than ever to plan carefully the source of funds for the full period of a child’s education.
How can cashflow modelling help?
To understand your current financial situation and the steps you need to take to arrive at your ideal future requires a strategy.
Cashflow modelling is a data-driven financial planning tool that turns your finances from a jumble of numbers into a clear view of your future. By using current and historic data about your finances, cashflow modelling helps you answer the big questions about your financial future.
A clear-headed approach is vital when planning for a large financial commitment – and the next 10 or more years of your child’s education certainly fits the bill. Anticipating and averting problems before they happen will allow you to stay ahead of rising school fees.
Cashflow modelling forms an important part of all our clients’ financial strategy. This approach is both versatile enough to fit around your financial goals and concrete enough to provide a comprehensive strategy that can guide your financial decision making.
A full personalised financial model for school fees
At S4 Financial, we offer bespoke financial planning solutions centred on cashflow modelling.
Our Full School & University Fee Model, in combination with our Personalised Financial Cashflow Model, gives you a full account of your financial situation. It also allows you to develop a clear strategy to navigate the twists and turns of educational funding.
Through a tailored projection of your income, expenses, assets and investments, we can help you enter your financial future with confidence. Our expert model creates a full breakdown of future school and university costs, including tuition fees and living expenses. Et voilà… you have a comprehensive strategy to fund your child’s education without the financial strain!
Supporting futures
Planning for your child’s education is about giving them the best possible chance for a successful future.
At S4 Financial, we believe that every child deserves this opportunity. That’s why we are proud to support Hart and Rushmoor Young Carers, a charity that does incredible work to identify, support and empower young carers.
We have donated three prizes of our Personalised Financial Cashflow Model + Full School & University Fee Model to a silent charity auction hosted by Sherfield School in March.