Best way to save for kids uni costs?!

22225

Thanks so much

DoublePolaroid

Pensioncraft video touching on the subject. 

peter021072

The situation might be radically different by the time they are ready to go to university at all, assuming that's what they want. Historically at least, paying off student loans is a poor decision for low earners since they don't need to be fully paid back, or paid back at all in some cases, and degrees don't guarantee higher earnings.

Certainly, they need to avoid substantial unexpected expenses which might impose high interest debt. Perhaps it's better to be more flexible what the money can be used for?

ispookie666

With three Junior ISAs, the fees keep adding up.  I would look at Fidelity, which has Zero fees for holding investments compared to other popular platforms.  You could also look into Investengine(or other platforms with zero holding fees), but it will be limited to ETFs in the case of Investengine.  Robinhood has recently launched in the UK.  


FTSE All world is something I would look into, current returns is not a guarantee of future returns!  

I have done split investments with Junior ISA and SIPP (purely for taxation benefit and not being able to access the money at 18) with Fidelity. I moved these from Hargreaves L (they used to charge—which may no longer be the case!).

chucknorris

22225 said:

Please can I have some guidance.

Got 3 kids between ages of 3 and 8 so I have 10 years approx before they start going off to uni. I suppose they will get loans for the fees and maintenance loans, but according to Martin I will have to give them about £5k per year each to live off.

What's the best way to raise this money?! I have an occupational pension, small LISA but I wont be able to touch those for another 17 years.

Should I put money into a stocks and shares isa and hope it grows?!

I am also trying to put a little money away to pay down mortgage debt as that has another 33 years to go and in 7 years my fix comes to an end...

What should I prioritise in your opinion?!

Didnt think about uni costs until the other day...

Although I have quite a bit invested myself (circa £3m), you are obviously going to get plenty advise about what investments to make, my advice addresses the cost of the degree and the degree content rather than accumulating the money to pay for a degree.

I am a retired (last month) university lecturer, and I would recommend looking into the BTEC route, they might not be applicable to all degrees in the ways that I describe them below, and to be honest I am not familiar with the various different types of BTEC qualifications (that is FE rather than HE). But I have witnessed over 14 years of lecturing (after working many years as a chartered quantity surveyor) was that some students who entered via the BTEC route seemed to have a head start in certain subjects area of their degree (which is obvious really). 

And students who had an HNC (or equivalent) enjoyed the same advantage when starting a degree at level 5 (which is the second year on a full time 3 year degree (in England, 4 in Scotland)) but furthermore I believe that their fees were substantially cheaper than the paying for the fees for the first year of a degree.

As I said it probably will not apply across the board in all degree subjects, but it is worth looking into. One disadvantage is that to gain ALL the advantages that I mentioned above, you would have to have a very good idea of what degree you wanted to do at the time of starting down the BTEC route. 

I hope that this helps someone.