How do you finance private school?

Lunar_Eclipse

Hi all

For those of you with children at, or going to private school, I'm interested in how you fund it (not whether or not you agree with it!;))

According to some research I read recently, 7% of children in the UK go to private school. Apparently, 23% of households with income > £50k have at least one child in private school. Which totally blew me away since I don't really see it as an option at this income level, certainly not for more than one child (and we have two) and where we live (Home counties.)

I have always assumed our two would go private from age 11, but as we approach that, it is clear that we cannot afford it on present income. So as I play around with strategies to make it possible, I'm interested to hear how other people have done it, or plan to do it.

Thanks for any help.

Mini_Bear

We have looked into private schooling my step son.
My partner earns 100k + bonus (upto 120% in a good year).
we have a tiny mortgage <100k and not very flashy cars, we are saving hard for retiremement and have found the fees of 10-15k yr almost unaffordable. Goodness knows how families send their children on incomes of 50k!
We have realised its not just the school fees but the expensive trips, sports and uniform which really add up, plus the fact where we live (south east) there is not a great choice of private institutions.
It would be interesting to find out the fees of private schools in the north, i can imagin that an income of 50K+ providing the mortgage is nearly paid off will allow for pleanty left over if fees are 5-8k.
Interesting post OP!

Lunar_Eclipse

Mini_Bear wrote: »

It would be interesting to find out the fees of private schools in the north, i can imagin that an income of 50K+ providing the mortgage is nearly paid off will allow for pleanty left over if fees are 5-8k.
Interesting post OP!

I suspect fees are slightly cheaper up North, but not hugely so. However mortgages would generally be lower, to reflect house price differences, making it more affordable. But we're not moving so it's not an option for us personally, despite there being some lovely schools across the country.:)

Interesting that you mention retirement, since it looks like it's currently a choice between education or retirement. We can't afford to save or pay for both. And clearly we can't and wouldn't want to work until we keel over!

minimoneysaver

Maybe some people have extended families chip in, the likes of grandparents etc? I know that it is common in many Asian families from what I hear, but I don't know if it is common in the UK. Mind you, I can't imagine peoples investments are giving much of a return at the moment, so maybe this isn't an option. Just thinking out loud.

Flashdaisy

Someone I know whose 2 children will be going to private school has a "school fund", which I believe is a fund her parents and grandparents (who are all very wealthy) all chip into.

Marcheline

It's worth looking at what help (if any on your current salaries) the school can provide. I went to private school in the days of the 'assisted place' which Labour scrapped, but my parents had to pay part fees until I was awarded a scholarship for sixth form. When my sister joined the school, she was awarded a 100% bursary which covered her from year 7 to 13.

Lunar_Eclipse

Marcheline wrote: »

It's worth looking at what help (if any on your current salaries) the school can provide. I went to private school in the days of the 'assisted place' which Labour scrapped, but my parents had to pay part fees until I was awarded a scholarship for sixth form. When my sister joined the school, she was awarded a 100% bursary which covered her from year 7 to 13.

Sadly it will be out of the question. We earn too much to get any bursary assistance, but not enough to afford it ourselves! The income threshold for bursaries varies, but is typically for families with no assets (including equity in the family home) and income of less than 40k. They really are designed for very bright/talented children that the school really want, for whom it would not otherwise be viable.

I know of someone who has just won a 100% bursary to a top 5 girls day school. She is an only child, from a single parent family living in a council flat. Her Mum works part time at Tesco. Interestingly the child's Grandparents are very wealthy. Stupidly we could probably do the same if I broke up our family by leaving my husband. A ridiculous option which we would never choose, although I'm sure someone somewhere probably has.

Mini_Bear

Actually i now remember a close school friend of mine was privately educated until she was 9 as was he younger brother. I think the grandparents initially paid but then her parents wouldnt take the money and decided to put them in the local primary. She was very bright and it stayed with her all through school so i imagine just a few years in these places can give a child the necessary enthusiasm for learning and set them in good stead!
I wonder if anyone else thinks tax breaks for paying for private education should be allowed under government rule. as these children are not being funded through the state and as the parents are likely higher rate tax payers can the government not give a tax relief, even if its only a few thousand a year. Same with private healthcare.
Oh i just remembered - the government is broke

barnaby-bear

Lunar_Eclipse wrote: »

Hi all

For those of you with children at, or going to private school, I'm interested in how you fund it (not whether or not you agree with it!;))

According to some research I read recently, 7% of children in the UK go to private school. Apparently, 23% of households with income > £50k have at least one child in private school. Which totally blew me away since I don't really see it as an option at this income level, certainly not for more than one child (and we have two) and where we live (Home counties.)

I have always assumed our two would go private from age 11, but as we approach that, it is clear that we cannot afford it on present income. So as I play around with strategies to make it possible, I'm interested to hear how other people have done it, or plan to do it.

Thanks for any help.

A lot of people could afford the payments on £45k extra mortgage and I've heard of equity withdrawl for far more stupid things....

galvanizersbaby

Lunar_Eclipse wrote: »

Sadly it will be out of the question. We earn too much to get any bursary assistance, but not enough to afford it ourselves! The income threshold for bursaries varies, but is typically for families with no assets (including equity in the family home) and income of less than 40k. They really are designed for very bright/talented children that the school really want, for whom it would not otherwise be viable.

I know of someone who has just won a 100% bursary to a top 5 girls day school. She is an only child, from a single parent family living in a council flat. Her Mum works part time at Tesco. Interestingly the child's Grandparents are very wealthy. Stupidly we could probably do the same if I broke up our family by leaving my husband. A ridiculous option which we would never choose, although I'm sure someone somewhere probably has.

Why has the child in question won a 100% bursary? - is it just down to the fact her mother is a single parent on low earnings who could not otherwise have afforded it or is she one of the bright/talented children you mentioned that the school really want?
Are you saying if you became a single parent family this would entitle your children to a 100% bursary? sorry if I sound naive but I'm unsure what you mean by this?

looby-loo_2

Altogether we will have spent £210,000 on four children over 13 years. Averaging this out it is £16,100 a year or £1,350 a month

With £50,000 coming in it would be a doddle!