For Indian parents, children’s educational goals always rank high. It is quite common to see parents prioritizing children’s goals over their own retirement. Planning for the goal itself is a formidable. task. It is important to reflect on why study abroad is so valuable to your child’s development and to explore solutions to your concerns. Deeper knowledge on the subject will make you feel more comfortable, and you may consider the following factors when you are in or likely to be in such a situation.
Costs of Study
The cost of overseas education varies largely even within the country of selection, depending upon the ranking of the college, location (city or suburb), the type of the course, accommodation, food plans, local transportation cost and so on. The cost of an undergraduate degree course (tuition alone) will be in a range between $20,000-55,000 (Rs.12-33 lakh) a year for a four-year course in the US. You can also consider a college that offers a higher scholarship. This apart, mobile phones, local travel in the country and visits back home also need to be budgeted for. Some colleges have a trimester system and children will be returning home at the end of every term, or within 10 weeks. Your overseas education consultant may help you to find the exact cost of study in various countries.
On an average, inflation is higher for education, especially when it comes to developed nations such as the US, the UK, and Australia. The college or your international education consultants will share the rate at which the tuition fee is expected to rise yearly.
Education loan is an option
An education loan will always help you to get over the financial difficulty or a cash flow hardship. Also, additionally, the loan may instil a sense of commitment to the course, and to work later. If you have any relatives abroad, it may be possible to obtain a foreign currency loan at a lower rate, but this may involve a commitment to work abroad. Issues regarding work visa also need also to be considered.
Start Saving Early
Parents always want to provide the best for their children. In the new-age, it means providing greater flexibility in selecting academic combinations which are difficult to get in India. Hence, it is a good idea to start saving as soon as your child enters school. If you expect overseas education to cost Rs.35 lakh per year, considering an inflation of 10% per annum, the future requirement for a four-year course starting 18 years later will be Rs.9 crore. This means you have to invest Rs 1.5 lakh per month from the time your child is three years old.
Children’s safety is always a big concern for parents while sending them abroad for studying. It is a fact that there is no country which can assure a 100% safe lifestyle. However, considering the high priority given by governments of popular overseas study destinations for security, you can rest assured about the safety of your children. Generally, most universities / institutions in the overseas countries provide accommodation within their campus or facilitate safe accommodation. Travelling also should not be a cause of concern as most of the developed countries have excellent transportation systems including buses, taxis, trams etc. Your international consultants may brief you about the safety precautions in the overseas study destinations.