Choosing a private education for your child isn’t just a financial decision - it’s an emotional one, rooted in your deepest hopes and dreams for their future.
For many parents, it’s about giving their child the best possible start in life – creating opportunities that extend beyond academia and providing an environment where they can truly thrive
This decision transcends money. It’s about the length’s parents are willing to go for their children, often making sacrifices to ensure they have every chance to succeed.
The rising costs of private education can feel daunting, but with the right support and planning, those dreams can become achievable realities.
We explore the unique challenges of school fees planning, who it benefits, and practical advice to help parents navigate this significant financial commitment.
Ensuring your child’s education is both achievable and sustainable without jeopardising your family’s financial stability
What makes school fees planning different?
Unlike broader financial planning, school fees planning zeroes in on one specific goal: ensuring your child’s education is both achievable and sustainable without jeopardising your family’s financial stability.
School fees often rise faster than inflation, with significant jumps at certain age milestones, such as 6, 11, and 16. Add the cost of multiple children into the equation, and the financial strain can quickly escalate.
Without a plan, many families find themselves cutting back on holidays, delaying home projects, or even compromising on savings. However, with professional guidance, these challenges can be managed more effectively.
Who benefits from school fees planning?
New parents planning ahead
If you’re just starting your journey, early planning can make a world of difference. A structured savings strategy lets you spread costs over time, easing the financial burden as your child grows.
Parents facing financial strain
If you’re already managing school fees and finding it tough, don’t worry – there are solutions. Whether it’s unlocking savings, restructuring your finances, or seeking external support, specialist advice can help.
How to make school fees affordable
Making private education affordable doesn’t always mean drastic lifestyle changes. Thoughtful planning and strategic financial decisions can help:
1. Calculate the costs: Understand the full cost of your child’s education, factoring in termly fees, inflation, age-related fee increases, and additional costs like uniforms, trips, and extracurriculars.
2. Decide what matters most: Would you prefer private education for the prep school years to build a strong foundation, or for the GCSE/A-level years to prepare for university? Considering these options can help tailor your approach.
3. Determine boarding preferences: Day students, weekly boarders, and full boarders have vastly different fee structures. Understanding these differences can help you plan effectively.
4. Identify your resources: Savings, pensions (if over 55), or even contributions from grandparents can provide valuable support. Financial planners can also help you explore less obvious resources or options like remortgaging.
5. Explore support options: Many private schools offer bursaries, scholarships, or grants to help families manage fees. Speaking to the school’s bursar can reveal opportunities to reduce costs based on your financial circumstances.
6. Tailor your strategy: Every family is unique. Whether it’s adjusting work patterns, remortgaging, or reallocating funds, a specialist financial planner will create a personalised plan to fit your needs.
Real-life stories
Turning a dream into reality
Chris Procter, Managing Director at Amber River SFIA and a specialist in school fees planning, shares the story of one of their longest-standing clients – a single mother and nurse with one heartfelt goal.
“She came to us determined to give her daughter opportunities she never had,” Chris recalls. “Living in a modest terraced house, with most of her income tied up in her mortgage, she told me, ‘I don’t want her to have the same life I’ve had.’ It was a deeply emotional decision, not one driven by finances.”
Her daughter was 10 years old, and the mother was resolute about sending her to private school, no matter the challenges. Chris and his team worked closely with her to find a solution. By restructuring her mortgage, cashing in an endowment, and setting up a regular savings plan, they created a clear and actionable strategy to make her dream a reality.
“This wasn’t about long-term wealth-building,” Chris explains. “It was about addressing her immediate goal- giving her daughter the education she believed would transform her future.”
Today, her daughter is thriving, and her mother has successfully achieved her dream without jeopardising her financial future.
“This story reminds us that financial planning isn’t just logical – it’s deeply emotional,” Chris reflects. “The right support can make even the most challenging goals achievable.”
The cost of going it alone
Chris also shares a cautionary tale of a family who struggled with school fees after trying to manage on their own.
“On the surface, they looked like they had everything in place. The father worked in a high-paying role at a blue-chip company, and all three of their children were enrolled in private school,” Chris explains. “But they had no savings, no equity in their property, and no strategy for dealing with rising costs.”
Initially, the family relied on an unsecured loan and a relocation package from the father’s employer to cover fees. However, when the relocation support ended, their financial situation began to unravel. Without a sustainable plan, the mounting debt and lack of resources forced them to make the heart-wrenching decision to withdraw their children from private school.
“This could have been avoided with early advice,” Chris says. “Having a financial planner to guide them could have helped balance their aspirations with a sustainable and realistic strategy.”
This story underscores the importance of seeking help sooner rather than later. As Chris notes, “When it comes to something as important as your child’s education, professional advice can make all the difference.”
Why professional advice matters
At Amber River, we understand that school fees planning is about more than money -it’s about investing in your family’s future. Here’s why parents trust us:
- Expert insights: We specialise in navigating the complexities of school fees planning.
- Empathy and understanding: Beyond the numbers, we provide the support and guidance you need to make confident decisions.
- Actionable solutions: From savings strategies to advice on bursaries, we offer practical steps tailored to your family’s needs.
Get in touch
Investing in private education is a big decision, but with an Amber River adviser by your side, it doesn’t have to be overwhelming. Whether you’re planning ahead or navigating the challenges of rising fees, we’re here to help.
To set up an initial appointment with an Amber River school fees specialist, call 0800 915 0000. Alternatively use our contact form here to arrange an initial meeting.
Disclaimer
The information within this article was correct at the time of publishing, but laws and tax rules are subject to change. Your circumstances and where you live in the UK may also have an impact on your tax treatment.
To learn about the government’s most recently-announced changes, please read our latest budget roundup: 2024 Autumn Budget Update
