University Education

Planning For Your Children’s University Education With A Limited Pay Endowment Plan

by FinancialDex
August 27, 2012

If you are serious in planning for your children’s University Education with an Endowment Plan, do you know that beside the traditional or usual types of plans that ask you to:

Pay For ‘X’ number of years for the same ‘X’ years of coverage term
Pay For ‘X-5’ number of years for ‘X’ years of coverage term plus the option to withdraw a certain percentage of the Sum Assured for the last three years (meant as a form of using it to service the child’s first year followed by second to third year of university education)…

There’s another type of Limited Pay Endowment Plan that allows you to service like 5 years only and the plan continues to the end of the coverage term (and most importantly… the maturity return can be like 40% – 60% potentially higher than those plans mentioned above)?

If you are unaware and you are interested to know more, do continue to read on…

What You Need To Know About This Type of Limited Pay Endowment Plan

As mentioned, the main attractive feature of this type of Limited Pay Endowment Plan is that you need to service like 5 years of Premium Term and the plan continues to enjoy the insurance company’s annual bonuses till the end of the coverage term (usually in the range of 15 years and beyond)

The next attractive feature is that the returns can be potentially higher than most of the usual endowment plans, including those termed as Education Funding Plans. And this is despite the fact that the total premiums paid for this versus others are mostly the same!

How Can This Type Of Limited Pay Endowment Plan Get You Potentially Higher Return?

Are You Financially Planned In 2011 And Prepared For 2012?

by FinancialDex
December 31, 2011January 13, 2012

In just a few hours, we will be saying goodbye to Year 2011 and welcoming 2012… how are you, in the financial planning aspects?

Some Questions To Reflect Back In 2011

If you are not too sure of your current state, here’s some general questions that you can ask yourself and it’s also a good reflection of what you need to focus on in the coming 2012…

Ask yourself:

– Did your savings grow, remain the same or shrink?

– How’s your investment portfolio?

– Do you feel more ready for your Retirement?

– In terms of any unforeseen circumstances – are you prepared?

– With the weather so unpredictable, are your precious assets well protected (or well-insured)?

– In terms of educating yourself in the area of finances, have you done so?

– Your health – is it well maintained?

If you feel that there’s a big shortfall in terms of your planning for any of the above mentioned, I will always say that it’s still not too late – if you sit down, set your mind and draft out some plans to really tackle them in 2012. Likewise, with the financial planning industry gearing up (the recent regulations being that Planners would need to take up more investment credentials to better advise for their clients – it’s a good time to arrange for a discussion with your Financial Planner!

What You May Need To Pay Attention To In 2012

– Unforgiving Economy

How To Plan Against The Impact Of A Costly Tertiary Education

by FinancialDex
January 17, 2011

There’s a recent news update that our Tertiary Education in Singapore is going to cost more. And the fee hike is applicable to this year’s cohort. Ouch!

So for those parents who are working hard to send their little ones in 10, 15 and 20 years time, what’s the financial impact should the fees of Tertiary Education to increase on an annual basis?

*source: todayonline.com

*For illustration purpose, I will be using the increment as 4% on the current annual fee of $7,170. Also assuming that the duration to get a degree is 3 years. Therefore, the total fee that we are looking at is $21,510. This amount is not inclusive of living expenses.

So, the new fee will be:

– $31,840 (an increment of $10,330 ) in 10 years time

– $38,738 (an increment of $17,228 ) in 15 years time

– $47,131 (an increment of $25,621 ) in 20 years time

And if you are concerned in planning for your little ones, here are a few common alternatives that you may consider in helping you to do so. There are also a few considerations that you may wish to take note.