What every mom should know

Ever considered what it would cost to get your child through school? You’re probably doing a quick calculation in your mind now taking the cost of what you assume the average school fees are per annum, and perhaps you’re at a thumb-suck figure of a couple of hundred thousand rand as I was? 

The truth is that not many people know the actual costs of education right off the bat, let alone factoring in tertiary education and the unforeseen additional costs that go hand in hand with schooling kids, such as extramural activities, camps, sports equipment, food, uniforms, and the list goes on! 

As a mom of a toddler, I was dumbfounded to learn the true cost of education and care and what lay ahead of me over the next 18 years – and beyond! Ideally, I would also like my daughter to go to varsity or at least have the option of furthering her studies. I had no idea that the actual cost of schooling would be in the region of half a million Rand. This is the estimated cost for preprimary (Grades RR & R), primary, high school and tertiary education – based on going to public schools. Looking at private schooling, plus say 4 years tertiary, would be around the R1.5 million mark!

Looking at these figures it became clear to me that I would need to start saving, like, yesterday.

Knowing what you’re in for to ensure your child gets a good education is one thing. However, the real showstopper for me was the question recently posed to me: “Who will cover the school fees if you pass away”?

As a mom, I know that the thought of not being around to raise your child is unfathomable and not something you even want to ponder for longer than a second. But here’s the scary realisation I had. If something were to happen to my hubby and I, who on earth would be able to cover all my daughter’s education and care costs?

If I were to pass away, guardianship would not be a problem as we have a wonderful family circle that would jump to look after our little one. But can you imagine leaving the burden of the actual school fees and care finances to the Granny/Grandpa/Uncle or Aunt? Not only is it unfair, but in some cases, it would be impossible for them to come up with the additional cash. It’s enough of a life changing event for someone to take on your child, they shouldn’t need to have additional financial pressure.

This question on school fees, stopped me in my tracks and made me realise that I would need a fail-safe plan, should the unimaginable happen. I realised that besides getting my ducks in a row and having a plan to cover the costs of my child’s schooling while I’m around – I should also get cover to protect my little one in the case that I become ill, impaired or pass away and can no longer cover the costs. At my child’s current age, if anything unforeseen were to happen to me, there would be 216 months of education and care to cover. Let that sink in for a moment.

There are many education insurance policies on the market but what I love about Capital Legacy’s EduCare™ cover for education and care is that you can custom-build it to suit your requirements and preferences for your child, and your pocket. EduCare™ has different options / levels of cover depending on whether you would like your child to go to government or private school, how much tertiary cover you would like and how much “care” cover you would want paid out monthly (for food, sports activities). You can even tailor your cover to include a “life starter benefit” where a cash amount will pay out, say when they’re 18, to pay for a car or res. By signing up for EduCare™ you get a trust set up, integrated with your will, with funds ring-fenced for your children’s education and care specifically. You’ll have the benefit of professional trustees appointed to manage the funds for the duration of your child’s schooling.

I received a quote and the monthly premium for my needs would be R261.71 pm as an example, which would give me a total EduCare™ benefit of R6.9 million, which includes the preprimary, primary school, high school and tertiary education fees, monthly care costs, a “life starter payout” when she’s 18 and trust management fees for the duration of her schooling. The premium is incredibly affordable for complete peace of mind. It’s a no-brainer, really. As my ode to my daughter this Mother’s Day, I’m signing up.