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STARTING A FAMILY

Education:

• Many state schools are very good and you may be very happy with your local school. Some state schools, however, do still have problems with class sizes and resources in general. Remember that if your local state school does not appeal to you, private education can be very expensive. School fees vary enormously, and the quality of some private schools may not necessarily be what you expect, and that doesn't include uniforms, sports gear or any of the extras.
  
  School fees (Case Study)

• Fees tend to rise by more than wages.

• The Independent Schools Council annual census for 2004 showed that average fees for day schools were £2,429 per term, a rise of 10.1% on the previous year. The corresponding figures for boarding were £5,909 per term and 9.1%

• All this means that early planning for school fees is essential, but fewer than 3 out of 10 of parents who intend paying for their children's education, actually make any advanced provision.

• Bank deposit accounts are not always the most effective way to save for the longer term. Specialist advisers offer bespoke school-fees investment schemes, but charges can be high.

• Another option is composition fees. These are usually schemes run by individual schools - and not all schools will necessarily have such a scheme. If you know which school you want your child to attend, you may be able to set up a scheme to pay the fees in advance - this should considerably reduce the final bill.

REMEMBER You should not use any information contained on this page as the basis of any action until you have discussed matters with your financial adviser.