BY JOHN ELLIS, FINANCIAL ADVISOR
It’s upon us once again, the new academic year, with many families struggling with the considerable burden of educating their children. According to Zurich’s annual Cost of Education survey, the costs associated with primary, secondary, and third-level education in Ireland continue to rise, placing a substantial strain on family resources.
Conducted since 2018 it provides valuable insights into the estimated and actual costs parents face at each stage of their children’s education.
The latest survey shows that 90% of parents with children in primary or secondary school would like to have their children continue to third-level education. However, the financial realities present a stark challenge with the costs associated with education rising significantly as children progress through the system.
Zurich’s research has shown that the cost of putting just one child through school can easily run into tens of thousands of euro. For families with two or more children, the financial burden increases, necessitating careful financial planning and, often, significant sacrifices.
The survey provides a detailed breakdown of the costs associated with each educational level. highlighting that the expenses incurred for secondary school students is double those of primary school and third-level education costs triple those of secondary school.
The survey outlines both the average annual and lifetime costs associated with each tier of education:
Primary: The average annual cost is €1,546, with a total lifetime cost of €12,368.
Secondary: The average annual cost is €3,088, accumulating to a lifetime cost of €18,525.
College: The average annual cost is €11,067, leading to a lifetime cost of €44,268.
At the primary school level, parents estimate an annual cost of €1,412 per child, a slight increase from the previous year. However, the actual cost is still higher, at €1,546 a year. The largest expenses for primary school students include lunches (€333), after-school activities (€246), shoes (€175), and clothing (€158). Despite the inflated costs, only 14% of primary school parents have taken out loans to cover these expenses, a decrease from 25% in 2023.
For secondary school students, parents estimate spending an average of €2,281 annually, down from €2,531 in 2023. However, the actual average annual cost is significantly higher, at €3,088. The greatest expenses for secondary education include private tuition or grinds (€912), lunches (€374), and transport (€326). To manage these costs many parents (20%), confirm having had to take out loans.
When it comes to third-level education, the costs are even more overwhelming. The survey indicates that college expenses can range significantly, with accommodation costs alone varying between €5,000 to €10,000, depending on whether the student lives in rented or student accommodation. In addition to these expenses, parents typically provide their children with an average of €2,331 for other costs throughout the college year.
Zurich’s Chief Executive noted: “Parents need to be financially prepared for the significant costs associated with education in Ireland. It is not just about the tuition fees; the ancillary costs, such as accommodation, transport, and daily living expenses, add up quickly. Planning ahead and saving early are key strategies to ensure that the financial burden does not become overwhelming.”
Your plan should be, as education costs continuing to climb, to consider all available financial strategies to support your children’s educational ambitions. The trend of increasing costs across all levels is likely to persist, making it more important than ever for you to be financially prepared.
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