School fees planning

Many expats have to send their children to private schools because of, e.g., language issues. Often this will be American International Schools or British International Schools.

Why save for school fees?

The school fees for these schools are very high. Therefore it is essential to save money so the expat can afford to give the children the best education they can get. The amount of time an expat has to save for school fees of his/her children is relatively short, which makes an early start absolutely necessary.

How to save for school fees?

The expat makes regular and/or lump sum savings in an (offshore) investment account or insurance to achieve the required resources. At maturity the expat can use the achieved amount to cover the school fees.
A school fees plan includes a life insurance. Many insurance companies offer expatriates the possibility to affect a welfare clause. This welfare clause makes sure the insurance matures even if the expat passes away before the date of maturity is reached. The insurance company takes over the regular payments.
For this welfare clause the insurance company includes a small fee. This is only a very small part of the regular savings paid by the expat. The majority of the regular savings is invested to achieve the determined amount to cover the school fees.

Need assistance with school fees planning?

H&N Associates is an independent financial advisor specialised in assisting expats with all their financial questions. Fill in the enquiry form to be contacted by one of our advisors to receive a tailor-made personal advice.