Page 1
Page 2
Page 3
Page 4
Page 5
Page 6
GIVING THEM THE OPPORTUNITY FUNDING YOUR CHILDS EDUCATION INTRODUCTION GIVING THEM THE OPPORTUNITY FUNDING YOUR CHILDS EDUCATION Over the last decade more and more professionals from all walks of life are finding themselves working and living abroad. As an expatriate your specific financial objectives and requirements may require specialist adviser knowledge and training as every region of the world comes with its own set of advantages and disadvantages to contend with. An understanding of offshore financial services and products can help provide you with the kind of life that you and your family deserve along with the security of knowing that your investments are working as hard as you are. Offshore investment is no longer reserved only for the wealthy the international market has opened for all expats living abroad who wish to enjoy the flexibility and accessibility of overseas accounts. Never before has the demand been greater and the financial industry has responded in turn with more and more financial institutions offering options to the international investor. The choice of provider is thus wider than ever- with services ranging from lump sum investments and saving schemes to pension plans and wealth management accounts. Chartercross works in conjunction with the worlds leading insurance providers and investment firms. It is these powerful relationships with the top players in the industry that ensure every product offered by Chartercross is of the best value to the investor and comes backed by the highest level of protection. The aim of this guide is to provide you with some necessary information youll require as you look at options for funding your childs education. One of our qualified financial consultants can assist you further by helping you choose the best method and means to start saving for your childs future. EDUCATION PLANNING As parents we always want to make sure we provide the best chance for our childs success in society. Higher education and quality schooling are a prerequisite in many fields thus providing for your childs education is one of the most important investments you can make. A proper education provides more than just the tools to succeed- it provides alternatives for your child later in life. When weighing out the costs versus what is gained you have to remember that giving your child an education allows them the opportunity to fulfill their potential- and the emotional rewards for them doing so will always outweigh the financial burden. Nonetheless ensuring that burden is as manageable as possible is a crucial part of the process of education planning. As an expat there are options available to you for saving efficiently and flexibly. An Offshore Savings Plan is one such option to save for your childs education. COST OF EDUCATION The insurance and investment group LV have an annual survey on the costs of raising a child. In January 2009 it showed that from birth to age 21 on average parents spend 193772. That is an increase of 4 from December 2007 and a 38 increase from 2003. Not surprisingly education and childcare are one of the biggest household expenditures and is increasing year on year. Reports show that the cost of education is growing at around 7.5 p.a. so in order to reach the figure required to finance your childs education at the time they reach university age you must begin saving now. A few facts to consider Fees for University add up to five figure sums Boarding schools can cost upwards of 20000 Extras such as books and uniforms are required and must also be taken into account There are several factors that determine the costs of your childs education. For example The field of study The institution your child attends The country in which your child studies and whether or not your child is classed as an overseas student The city in which your child studies QUESTIONS TO ASK YOURSELF As and expat there are many considerations when determining the correct course for your childs education How do the teaching and qualification standards compare to those back home As international schools tend to pay higher salaries to teachers they bring in from western countries the costs of an education to western standards can often be much more expensive than private education in your home country. How will the language of your country of residence going to impact your childs learning Will you have your child learn a second language How will the environment affect your childs development Is it a safe and stable one Are there fees for early withdrawal from the school if you decide to move before the end of the school year These and many more issues must each be carefully considered before you start planning. Along with factors such as costs logistics and quality- you must also decide between private and state schooling. It is up to you to ensure that your child has the best chance at a bright future. CHOOSING THE RIGHT SCHOOL There are a vast number of schools to choose from both at home and abroad. In order to narrow down the list you must focus on the type of school best suited to your childs needs. A good starting point for choosing your childs school is a personal recommendation from a trusted source. Failing that a search online will yield reviews from other parents. Nowadays it is fairly simple to compare the schools curriculum fees and educational practices as well as gain useful information about international schools- all online. Once youve narrowed your list to a few schools look at their brochures. Take note of information such as the average marks and achievements of the students the schools facilities and security arrangements as well as anything else that is important to you and the wellbeing of your child. When considering whether to have your child educated overseas or back in your home country there are several relevant questions to ask yourself. Here are just a few What weekend activities are available to them What assistance does the school provide in terms of travel How many other students will be in similar circumstances as your child How easy will it be to communicate with your child GIVING THEM THE OPPORTUNITY FUNDING YOUR CHILDS EDUCATION Once you have narrowed your list of schools to the final two or three take your child along and visit the schools you are considering. Speak to the staff and pupils there to get a feel for the atmosphere and choose the one that everyone feels most comfortable in. OBTAIN FINANCIAL ADVICE The best way to take advantage of your position as an expat is to first familiarize yourself with your options. Speaking to one of our consultants will help you do just that. In order to ensure that your child receives the best education you must place money aside so that it can grow while at the same time providing flexibility for you to make withdrawals when school fees are due. Its our job to help you find a plan that is appropriate for your circumstances and provides the best possible benefits available. To name a few Easy access for withdrawal of funds to pay for tuition Tax efficienttax free growth Portable products that can move when you do Adaptability that enables you to change your investment strategy to reflect changes in your or your childs circumstances The time is now to begin planning. At Chartercross we work with the worlds leading investment houses and insurance providers. Our consultants have all been trained to give the best advice and have an understanding of the local requirements of the region you plan to move to. ABOUT CHARTERCROSS We understand that every client is an individual so our approach is to help find products and solutions that are tailored to fit your unique circumstances and goals. Chartercross is a whole of market advisory and not tied to any one individual life company so we are free to offer the best advice on products from any provider. Thus our fully qualified consultants and Wealth Managers are able to provide not only accurate but Simple Impartial Advice. The advice we provide is free and without obligation. All opinions expressed in this Guide constitute the authors own judgment as of the date of the Guide. Please note that as we have only indicated the general position and whilst every effort has been made to ensure the accuracy of the information we can accept no responsibility for any act or failure to act based upon its content. The views expressed herein are purely those of Chartercross employees and are not to be construed as advice GIVING THEM THE OPPORTUNITY FUNDING YOUR CHILDS EDUCATION This material is for information purposes only and does not contain and should not be construed as containing investment advice or an investment recommendation or an offer of or solicitation for a transaction in any financial instrument. Always seek independent financial advice before investing in any product. The information provided and contained in this brochure are believed to reliable but are subject to change without notice and Chartercross makes no representation as to the completeness or accuracy of the information or of any opinions expressed.