In 2018, the Independent Schools Council Annual Census reported on the average boarding fees per term in the UK (collated from ISC-member senior boarding schools). It’s worth noting that fees vary widely from school to school and from region to region – the South West of England has the highest, followed by the South East and then Greater London, with the North West having some of the lowest fees. Scholarship and bursaries will vary from school to school and provide anything from a 5% to 80% contribution, although the lower rates are more common. London It’s important to seek professional financial advice specific to your circumstances, as returns may be taxable. It’s important that it’s the grandparents who set it up to avoid tax implications. Environmental, Social and Governance (ESG) Investing, Portfolio Review Service (Intermediaries), Managing the end of the employment relationship – part 1 of 2, Neil Moles speaks to the Adviser Gap podcast, Dynamic portfolios – process and performance. Wiltshire Bolney In order to maximise any investment and minimise any risk or tax liabilities, you will require professional advice and assistance. The good news (if there is any) is that, according to the ISC 2018 report, the average overall fees only increased by 3.4% between 2017 and 2018. Suitable investment vehicles are available and, if well-chosen and managed, they could provide more promising returns. Privacy Policy -Terms & Conditions - If you have parents or other family members that can help, school fees may be a way to reduce Inheritance Tax. If our case study family are able to realise an investment, or if they receive an inheritance, they could invest the total lump sum. Let’s take the example of a family with two children, two years apart, whose parents want them both to board at private school for five years, through GCSEs and A levels. When released we also carry 2021/22 school fee data and availability. It provides English curriculum education for international students aged between 3 and 11 years old from more than 47 countries… High Wycombe Edinburgh Learn how your comment data is processed. The Progeny Group Limited is a limited company registered in England and Wales with number 09276612. When the second child starts at private school, this amount will double to £5,500, leaving the family with just £837. Information contained herein has been obtained from sources believed to be reliable but is not guaranteed. These fees are exclusive of VAT as applicable by UAE law. The amount they can give is unlimited. What is the REAL Cost of Your Investments? Larger schools that attract international students are often the most competitive for scholarships. Wealthy family members could consider setting up a trust fund from which the trustees could realise funds to pay school fees. Average fee figures are based on fees at schools completing the Census in 2018; percentage change is calculated from the change among the 1,283 schools completing the Census in both 2017 and 2018. EH9 1DU, 29-31 Castle Street This therefore allows for protection against fee increases, which in turn effectively provides a discount. Grandparents could also consider setting up a family business and naming the children as shareholders. If you would like to discuss any of the options above, please get in touch. The value of an investment and the income from it may go down as well as up and investors may not get back the amount originally invested. Progeny is a trading style of The Progeny Group Limited and is used by various companies within the Progeny group of companies. School fees (excluding nursery fees). And what about university fees after that? W1J 9EJ, 91 Crane Street This site uses Akismet to reduce spam. In recent years they have increased at an average rate of 5-6% per year. Grandparents could regularly give away some of their income, but the gift must be regular and must leave them sufficient money to live on. This all begs the question: how much do you need to earn to afford private school for your children, and what is the best way to fund it? 170 - 173 Piccadilly What should be clear from the above is that there are a number of different ways to fund school fees, most of which will be more affordable and tax efficient than trying to pay them from monthly income. Source: ISC Census and Annual Report 2018. Past performance is not indicative of future results and the value of investments can fall as well as rise. In some cases, scholarships or exhibition awards may provide lessons and additional travel expenses rather than tuition. Private school fees have more than trebled since the 1990s when many of us were at school. Padiham Neil’s main focus is developing and delivering the strategy of the business. Shuttleworth Mead Business Park School fees are charged annually and cover all the costs incurred in the usual course of a child’s education, including tuition, textbooks, and transportation. Progeny Wealth Limited is authorised and regulated by the Financial Conduct Authority and is entered on the Financial Services Register (fca.org.uk/register) under reference 116460. You may feel that your children need different schools to achieve their best. We’d be delighted to help. Its stated mission is to ‘build personal leadership able to keep up with the creative spirit of the Salisbury Grandparents could give away up to £3,000 each year tax-free, using their annual gift allowance. Spreading the cost of school fees over more years by saving from an early age is a more manageable option. Horizon Private School- Branch, Khalifa City. (In a previous blog, I looked at how to best pay for tuition fees which have risen to £9,250 per year). The amount may not sound much, but if you have four grandparents each contributing £3,000 a year, the £12,000 which results will at least put a dent in the school fees bill. The result of the above is a total invested amount of £185,958 per child with the total cost of education of £232,746 – the investment returns fund the difference. Fees are invoiced in advance and payable by three equal instalments starting from the beginning of the academic year. May be subject to an increase of up to 10%. With a salary of £125,000, the family have an estimated net monthly income of £6,3371. The calculations quoted in this article are for illustration purposes only. If you would like to speak to an adviser at Progeny, please feel free to contact us. You can enquire about the new fees starting in June. Grandparents could make lump sum gifts to help with school fees and, provided the grandparents live for at least 7 years after making the gift, the amount will not be included as part of their estate for the purposes of calculating IHT. WELCOME TO NEW HORIZON PRIVATE SCHOOL-COMBINED SCHOOL, GREATER GROBLERSDAL MIDDELBURG. This money will not be included in their estate when it comes to calculating Inheritance Tax liability, even if they die within 7 years. The mother doesn’t work and the father earns £125,000 a year. Both sets of grandparents are reasonably well off and may be able to offer some assistance. Principal contacts are Mr/Mrs KORF H with 1 Teachers and 440 Students. We have placed cookies on your device to help make this website better. However, we can’t assume that future increase rates will remain that low. Horizon English School Fees. He also looks after a number of private clients delivering a personal service to them. It’s still not a breeze, but it’s a lot more doable than paying on demand out of taxed income. The information contained within this website is subject to the UK regulatory regime and is therefore primarily targeted at consumers based in the UK. If the family were to start saving even earlier, perhaps when their child was born, 10 years in advance of school fees beginning, the monthly investments could be reduced significantly further, as shown below, assuming other rates remained the same: The total of £208,110 invested would cover a total cost of education of £297,049. Heated discussions can ensue about which schools you should apply to, whether your children should board or not, or even whether private school is the right choice. However, what is clear is that with even a little forward planning it is possible to substantially mitigate the cost and impact of school fees. Even for those on a salary of £150,000 (estimated net £7,545 per month1), with two children at private school their monthly funds will be £2,045, which is likely to be an unrealistic amount for most reasonably well-off families with a family home and cars to run. In recent years they have increased at an average rate of 5-6% per year. So if you can be flexible about location, this has the potential to save you a considerable amount. Hi Neil, I’ve just seen your article pop up in our news feed, very useful. The grandparents would then put income-generating assets into the business (such as property) which paid out a dividend to pay the school fees. 1 Alvanley Terrace This article contains the opinions of the author but not necessarily the Firm and does not represent a recommendation of any particular security, strategy or investment product. 25,000+ Parent Reviews, Tuition Fees, Ratings, Curriculum | Khalifa City | The school opened in 2003 in Khalifa City, Abu Dhabi. Better options would be to start saving and investing funds for school well in advance, or, if it’s already too late, getting support from family if this is possible. The average annual cost for a senior-aged pupil was £33,000, and that figure doesn’t include the extras needed for activities such as sport, music, art and the cost of uniforms and school trips. No representation is made that the stated results will be replicated. RH17 5PA, Group First House 2020/21 Horizon Private School Branch fees and current Horizon Private School Branch availability across year groups. Show all 8 Locations on Map →. Have now shared it to our tutoring and educational consultancy Facebook page, trust that’s ok. This article is distributed for educational purposes and should not be considered investment advice or an offer of any security for sale. Egyptian House 1 Based on paying Income Tax and National Insurance at 2019/20 rates and excluding any other deductions such as pension contributions. 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