4. Key Needs of Financial Planning
Priority
Education Planning
Objective
- To accumulate sufficient education
Purpose
- To allow children to receive tertiary education
Principle
- Sufficient education funding = total available resources for education > total education needs (to have at least 5% to 10% extra
- Maintain a minimum of 10% (exclude EPF) of total income as annual savings.
How to achieve?
Consider Investing:
- National saving of SSPN, Unit trusts, money market instruments, education insurance policy
Timeframe
- Long-term goal is to accumulate sufficient education funding before the eldest child starts tertiary education.
