Saving for post-secondary education

What will your children be when they grow up? Everyone's answer is different, but one wish is nearly universal among Canadian households. A 2002 Statistics Canada survey showed that more than 93 per cent of parents in Canada wanted their children to have a post-secondary education.

College and university aren't cheap, and costs are rising. It's one thing to want your child to pursue higher education; it's another to pay for it. Here are some things to consider when starting to save.

The sooner, the better
Acumen Research reports that 60 per cent of university applicants don't discuss educational finances with their parents until after Grade 10. "It happens way too late," says Sean Junor, manager of knowledge mobilization for the Educational Policy Institute.

Not only should your saving start early, so should your research. Junor recommends beginning by asking your child something as simple as "what are some of your interests?" Identifying your child's interests allows you to learn more about relevant programs including:

• Are they offered at the college or university level?
? Are they available nearby or will your child need to live away from home?
• How many years of education are required?

Answering the above questions gives you a better idea of how much to save while focusing your child's academic goals. "It really is the engagement of a conversation about planning and preparation," Junor says. "It's about what it will mean to go to school in the big picture."

Determining how much you can save
What's important when starting to save for school, says Junor, is making a plan that works for you and your family. "You've got to start somewhere," he says. "The key is to sit down and determine how much you have at your disposal to start saving right now." (Savings calculators are available at many sites including TD Canada Trust and Heritage Education Funds.)

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