Higher Education as a Right

Doing the best that we can for our children and setting them up for their future is the most valuable gift that we can give and is our obligation to our children as their parents.

This obligation does not end in high school; this obligation carries on throughout higher education as it is only through the provision of a complete, comprehensive and well rounded education that we can expect our children to grow into the free, independent and forward thinking adults that we hope them to become.

But higher education is a costly undertaking. In fact the financial barriers facing today's students are proving so restrictive that more and more of them are being forced to give up their dream of a university place because of debt and financial hardship.

Find out how you can remove the financial barriers facing your children.

How much does a university education cost today?

The fees applicable will depend upon: -

• the class of institution your student child chooses
• their chosen path of study
• the country in which they want to study and whether they are going to be classed as an overseas student or not
• the city in which they want to study etc.

As a guide on which you can base your considerations please note that the total cost of a university education has doubled over the past five years and the average university course is now 4 years.

UK: -

The education fees for an average science degree are £8,200 per year The education fees for an average arts degree are £6,303 per year The average living expenses for the academic year (September to June) are £6,600, add to this a flight, holiday and a little money for clothes and fun and it can easily amount to £17,000 plus per year.

USA: -

The education fees for an average degree from a private low cost university are $12,000 per year The average living expenses for the academic year are $10,000 Of course when it comes to living expenses they are different for each individual depending on their lifestyle and the city in which they study.

How much will a university education cost in the future?

The cost of obtaining a degree will continue to increase as more countries adopt the American system where, quite simply, the best colleges charge the higher tuition fees.

The cost increase is likely to be further compounded as the state actively encourages our children into further education and university places will come at a premium. In the UK nowadays, 1 in 3 children enter higher education compared to 1 in 20 in the 1960s and it is fair to assume that this number will not reduce.
Added to these facts, you have to take into account inflation of course - and the cost of education is currently growing way beyond the rate of inflation at around seven and a half percent per annum in the West. Though, if you simply base your future figures on inflation alone this could double the money required to finance your child's higher education.

Removing the financial barriers

In a comprehensive survey by the University of Glasgow it was found that for most students the university tuition fees are not the main problem when it comes to deterring high calibre students from achieving their educational goals.
More students and their families were put off the thought of higher education by the potential debts that would be incurred from the ever rising accommodation and utility costs, travel expenses, books, equipment and lifestyle costs.
It seems that debt rather that beer is uppermost in the modern student's mind and in 2002 as the average graduate left university with a debt of £10,000 you can see why!
Leaving university under a mountain of debt that will engulf finances for many years is not an attractive prospect, and as a result students are opting for cheaper, shorter courses closer to home. Quite simply, they are not being afforded choice, freedom or the ability to fulfil their potential.
So how can you help to remove the financial barriers that will restrict your child?

Planning, investing and financing

There are a hundred-and-one ways to save for university fees - especially if you are an expat or an offshore investor!
Initial considerations should be made depending on the length of time until your child is of age to attend university, the amount of capital hoping to be raised and the level of risk you are willing to subject your savings to.
There are tax free and tax friendly options available to you.

If you need the funds in the short term you might be in a position to consider a re-mortgage to release equity from your home for the education of your student child. If you do not plan ahead, this may be your only option.
The options and possibilities are out there.

Next steps

The decisions you will no doubt make will be based upon getting the best returns for your money and affording your child the best chance for their future.

To help you identify the best financial options available to you, you will need personally targeted advice. My focus is always on making your money work harder for you! This is the focus that any independent financial adviser should come from.

In my experience, the savings and investment plans that most expatriate parents choose are not restricted to education planning. This allows parents and their student children to use the money for other purposes if required - e.g., a wedding, a house purchase or a grandchild!

Find an independent adviser to talk your ideas through with- he will have access to the entire product market place including offshore savings and investment plans, and will be in a position to offer you the best deals tailored to your exact financial needs.

Author Biog

Rhiannon Williamson is an experienced publisher who has produced articles for leading travel and tourism guides and financial magazines. Her specialist knowledge about both travel and finance gives her site http://www.shelteroffshore.com/ the unique ability to literally cover every single aspect of moving & living abroad - including the often less discussed offshore tax advantages that can be available when leaving our homeland.

Check out http://www.shelteroffshore.com/ to find out how you can escape from the rat race, relocate overseas, and profit from your move!