Page 57 - Phonebox Magazine December 2009

Finance Matters
brought to you by Advison Independent Financial Advisers
Will your child be able to afford to go to University?
For parents, the arrival of a new baby is like a blank canvas, with all things in the future possible. Most will have aspirations for their children and will want them to make the most of their lives in whichever direction they choose to take. Some parents will have quite specific aspirations but for many seeing their child maximise their education will be high on the list.
For many years the main barrier to entry into higher education was academic ability. This has changed greatly over the last couple of decades with a far greater proportion of 18 year olds now attending Higher Education courses. The concern as far as barriers are concerned is very much now finance, in particular, as we have seen the introduction of student fees during this period.
Having said this, half of all British students pay no fees at all with only those whose family earn over £20,000 a year having to make a contribution. In fact only one in three students pay the full amount. The maximum amount universities can currently charge is £3,145 a year and most tend to charge the full rate.
Students starting university now face an average debt of £23,000 on graduation (£50,000 for medical students), according to the recent Push Student Debt Survey. That's a threefold increase in student debt compared to 2002 according to research from Warwick University. For young
children today, who may not be entering higher education for 10 or 15 years, who knows what the level of debt will be.
Whilst student loans are available, they do not cover anywhere near this amount and putting in place a savings strategy at the earliest opportunity will maximise the chances of being able to fund the required amount. This is particularly the case if you have more than one child.
Regular savings policies taken out when the child is very young allow for in excess of 15 years of savings to be built up and even a modest monthly payment can build up over such a long period.
Advison has a wealth of experience in helping clients with different investment strategies and tax planning, ensuring that a well constructed portfolio provides the diversity required. We are also able to review your investments so that they remain in line with your personal circumstances and objectives.
Unlike many IFAs, Advison not only provides the initial advice you require but also produces regular personalised reviews of your Investments, Pensions and Protection Policies, enabling us to ensure the assets you hold are still relevant to your circumstances.
Additional information provided by Margaret Hodge, Lifelong Learning and Higher Education Minister (courses-careers.com)
Advison is a small, friendly and reliable firm specialising in Investments, Retirement Planning and IHT Mitigation.
We offer a return to the traditional values only a smaller company can offer, a service we find
is appreciated by the more discerning client. We are happy to see you in the comfort of your own home or at our office in Woburn Sands which also has free parking.
All staff at Advison are either AFPC or FPC qualified.
------------------This is your opportunity to speak with the experts------------------
• Previously voted Planned Savings Magazine National Estate Planner of the Year
• Regularly quoted in the national press for over 10 years
• Have appeared as financial planning experts on BBC, Sky, CNBC, Bloomberg, Simply Money and the Money Channel • Choice Magazine’s Pensions and Trusts expert
Call Kevin or Andrew for a preliminary chat or to arrange an appointment.
Shelton House, 4 High Street, Woburn Sands, Bucks. MK17 9SD T: 01908 285690 E Mail: ifa@advison.co.uk
Advison ltd is an appointed representative of IN Partnership the trading name of The On-Line Partnership Limited which is authorised and regulated by the Financial Services Authority. Registered (England) No. 5009271
Phonebox Magazine 57