{"id":1797,"date":"2025-03-26T08:09:48","date_gmt":"2025-03-26T08:09:48","guid":{"rendered":"https:\/\/www.tnadvisory.sg\/?p=1797"},"modified":"2025-04-03T03:21:09","modified_gmt":"2025-04-03T03:21:09","slug":"education-planning-with-two-kids-heres-how-you-manage-expenditure","status":"publish","type":"post","link":"https:\/\/www.tnadvisory.sg\/index.php\/2025\/03\/26\/education-planning-with-two-kids-heres-how-you-manage-expenditure\/","title":{"rendered":"Education Planning: With Two Kids, Here\u2019s How You Manage Expenditure"},"content":{"rendered":"\n

\u201cTwo children require a monthly basic expenses of about S$5,800 to S$6,400\u201d, said an article <\/a>. The numbers may be estimation, but the expenses are real.<\/p>\n\n\n\n

What really surprised me was the timing<\/em> of these expenses. Here\u2019s what happened:<\/p>\n\n\n\n

My girl was starting childcare. Since I have a job, I bought four sets of uniform to cope with the lean times ahead. I was selective with her enrichment classes and excursions, doing a great deal of research before making every decision.<\/p>\n\n\n\n

Expenses increased. Time was stretched thin. But, I had everything under control.<\/p>\n\n\n\n

Until, it was my son\u2019s turn.<\/p>\n\n\n\n

Yes, I have two children. Suddenly, both were in childcare at the same time<\/em>. I had to get 8 sets of uniforms, and pay double for every enrichment class and excursion\u2014every year from then on.<\/p>\n\n\n\n

Reality struck me when I least expected. What do I do? How do I afford the sudden hike in expenses? Let them take turns? So when jie jie<\/em> goes for excursion, di di<\/em> will stay at home?<\/p>\n\n\n\n

But then this also means that only one child will attend enrichment class at one time\u2026<\/p>\n\n\n\n

One child will see the dentist a year\u2026 <\/p>\n\n\n\n

And (I have to pray that) only one child will need medical attention during an emergency.<\/p>\n\n\n\n

You\u2019re probably thinking: that\u2019s ridiculous!<\/p>\n\n\n\n

You may even be scolding me: Don\u2019t you know better? With kids, everything<\/em> must be planned: clothes, food, transport, time, activities and education!<\/p>\n\n\n\n

Well, you\u2019re right. And I learned one of my major lessons in life: education planning is bound tightly to household finances\u2014especially when I need to provide the best for two<\/em> children at the same time.<\/p>\n\n\n\n

I started with coordinating my expenditure, and here are the steps I took:<\/p>\n\n\n\n

1. Consider The Age Gap & Gender Of Your Children<\/h3>\n\n\n\n

Take my case as an example: my girl and boy are 2 years apart:<\/p>\n\n\n\n

You can see in Figure 1 (below), after my girl graduates, I still have to finance my boy\u2019s degree for another 3 to 4 years, depending on his course of study.<\/p>\n\n\n\n

My commitment may be prolonged, but I\u2019ll only need to make one payment at a time.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Figure 1: Timeline For 2 Children, Girl (older) and Boy, of Age Gap 2 Years<\/strong><\/p>\n\n\n\n

What if my son was the older child?<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Figure 2: Timeline For 2 Children, Boy (older) and Girl, of Age Gap 2 Years<\/strong><\/p>\n\n\n\n

Then, it\u2019s clear in Figure 2 that my financial commitment will end when they both graduate. However, I\u2019ll have to make two payments at the same time.<\/p>\n\n\n\n

What if I have 2 sons or 2 daughters?<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Figure 3: Timeline For 2 Children, Boy and Boy, of Age Gap 2 Years<\/strong><\/p>\n\n\n\n

You can see that whether boy or girl my financial commitment will extend AND I\u2019ll have to make two payments at the same time in the last 2 years of their studies.<\/p>\n\n\n\n

2. Work Out An Estimated Sum Of Funds Needed<\/h3>\n\n\n\n

Each level of study requires a certain amount of funds\u2014you won\u2019t be able to get an accurate number at this point, but it\u2019s helpful to have a realistic figure, even if it was estimated.<\/p>\n\n\n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n
Level<\/th>\n Type of Fee<\/th>\n Monthly Fees
(S$)<\/th>\n <\/tr>\n <\/thead>\n
Infant Care<\/td>\n Anchor Operator<\/td>\n Max. 1,275<\/td>\n <\/tr>\n
Partner Operator<\/td>\n Max. 1,400<\/td>\n <\/tr>\n\n
Childcare<\/td>\n Premium Childcare Centre<\/td>\n 1,000 \u2013 2,500<\/td>\n <\/tr>\n
Anchor Operator<\/td>\n Up to 720<\/td>\n <\/tr>\n
Partner Operator<\/td>\n Up to 800<\/td>\n <\/tr>\n\n
Kindergarten<\/td>\n Anchor Operator<\/td>\n Up to 160<\/td>\n <\/tr>\n\n
Primary<\/td>\n School Fees<\/td>\n 13<\/td>\n <\/tr>\n
Miscellaneous Fees<\/td>\n Max. 13<\/td>\n <\/tr>\n\n
Secondary<\/td>\n Govt. (School Fees)<\/td>\n 5<\/td>\n <\/tr>\n
Govt. (Miscellaneous Fees)<\/td>\n 10 \u2013 18<\/td>\n <\/tr>\n
Independent (School Fees)<\/td>\n Max. 600<\/td>\n <\/tr>\n\n
Post-Sec (JC)<\/td>\n Govt. (School Fees)<\/td>\n 6<\/td>\n <\/tr>\n
Govt. (Miscellaneous Fees)<\/td>\n 13.50<\/td>\n <\/tr>\n
Independent (School Fees)<\/td>\n Max. 600<\/td>\n <\/tr>\n <\/tbody>\n<\/table>\n\n\n\n

Table 4: Amount of Funds Needed for Each Level for a Singaporean child.
<\/strong>(Source: income, 2021; Ministry of Education, 2022; The Independent, 2021)<\/em><\/p>\n\n\n\n\n \n \n \n \n \n
Level<\/th>\n Type<\/th>\n Annual Fees
(S$)<\/th>\n <\/tr>\n <\/thead>\n
Post-Sec (Poly)<\/td>\n Tuition Fee<\/td>\n 2,900<\/td>\n <\/tr>\n
Tertiary<\/td>\n Tuition Fee<\/td>\n 8,200 \u2013 10,770<\/td>\n <\/tr>\n <\/tbody>\n<\/table>\n\n\n\n

Table 5: Amount of Funds Needed for Each Level for a Singaporean child.
<\/strong>(For more information, see article \u2018Education Planning: Parents, Don\u2019t make these 3 mistakes\u2019)
(Source:income, 2021)<\/em><\/p>\n\n\n\n

For tertiary level, the annual tuition fee is dependent on the course of study, so you can refer to my other article \u2018Education Planning or Retirement Planning\u2014Why Not Do Both?\u2019 to identify a more precise amount.<\/p>\n\n\n\n

3. Take Note Of Different Forms Of Financial Support<\/h3>\n\n\n\n

Including the $200 one-off top-up into Edusave account or Post-Secondary Education Account (PSEA), every Singaporean child actually receives a subsidy of over 90% of the education costs, from primary to post-secondary level (<\/em>)<\/em>.<\/p>\n\n\n\n

There is a wide spectrum of financial support available\u2014and trust me, it\u2019s definitely good to know what\u2019s out there.<\/p>\n\n\n\n

Take my case for example: since my son entered childcare during my daughter\u2019s third year there, I\u2019ve worked out the following calculations.<\/p>\n\n\n\n\n \n \n \n \n \n \n \n
Child<\/th>\n 3rd<\/sup> Year of Childcare<\/th>\n <\/tr>\n
Cost
(S$)<\/th>\n 		Subsidy
(S$)<\/th>\n 		Other Discounts
(S$)<\/th>\n 		Amount Payable
(S$)<\/th>\n <\/tr>\n <\/thead>\n
1<\/td>\n 720<\/td>\n 300<\/td>\n \u2013<\/td>\n 420<\/td>\n <\/tr>\n
2<\/td>\n 720<\/td>\n 300<\/td>\n 10% x 720*<\/td>\n 348<\/td>\n <\/tr>\n
Total (S$)<\/td>\n 1,440<\/td>\n 600<\/td>\n 72<\/td>\n 768<\/td>\n <\/tr>\n <\/tbody>\n<\/table>\n\n\n\n

Table 6: Monthly Amount Payable for Two Children, Girl (Older) and Boy.
<\/strong>(*Available sibling discount, which is dependent on the establishment.)(Source: ECDA, 2022; HONEYKIDS, 2019)<\/em><\/p>\n\n\n\n

You can clearly see the amount of money I saved, and this is possible when I\u2019m aware of the available financial support (i.e. subsidies and discounts that are possible with the second (or subsequent) child, such as the \u2018sibling discount\u2019, which is usually set at 10% of the fees). <\/p>\n\n\n\n

To get started, refer to Table 7<\/strong> below.<\/p>\n\n\n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n
Support Type<\/th>\n Forms of Support<\/th>\n Types<\/th>\n Amount (Estimated)<\/th>\n Level of Study<\/th>\n <\/tr>\n <\/thead>\n
Merit-Based<\/strong><\/td>\n Edusave Awards<\/td>\n \n
    \n
  • Good Performance<\/li>\n
  • Good Progress<\/li>\n
  • Good Character<\/li>\n
  • Leadership Skills<\/li>\n <\/ul>\n <\/td>\n
S$100 \u2013 S$500<\/td>\n Pri to Post-Sec<\/td>\n <\/tr>\n
Scholarships<\/td>\n Programme-Specific<\/td>\n Max. S$2,400 per year + Allowance of S$1,000<\/td>\n Secondary<\/td>\n <\/tr>\n
Government (MOE)<\/td>\n Max. S$2,400 per year<\/td>\n Sec to Tertiary<\/td>\n <\/tr>\n
Singapore-Industry<\/td>\n Full tuition fees*<\/td>\n Tertiary<\/td>\n <\/tr>\n\n \n
Non-Merit Based<\/strong><\/td>\n Subsidies<\/td>\n \n
    \n
  • Infant Care<\/li>\n
  • Childcare<\/li>\n
  • Kindergarten<\/li>\n <\/ul>\n <\/td>\n
Max. S$1,310 per month<\/td>\n Preschool<\/td>\n <\/tr>\n
Enhanced Government Bursary<\/td>\n Higher Education<\/td>\n Part of Tuition Fee
(75% for Degree \/ 95% for Diploma)<\/td>\n 		Tertiary<\/td>\n <\/tr>\n
Government Loan Schemes<\/td>\n Tuition Fee Grant<\/td>\n Part of Tuition Fee
(90% for Degree \/ 95% for Diploma)<\/td>\n 		Tertiary<\/td>\n <\/tr>\n
Study Loan<\/td>\n Max. 25% of payable tuition fees + $2k to $3.6k living allowance<\/td>\n Tertiary<\/td>\n <\/tr>\n
Financial Assistance<\/td>\n MOE<\/td>\n Other school expenses<\/td>\n Pri to Post-Sec<\/td>\n <\/tr>\n <\/tbody>\n<\/table>\n\n\n\n

Table 7: Forms of Financial Support for Preschool to Tertiary Level of Study.<\/strong>
*Terms and conditions applied.<\/strong>
(Source: Ministry of Education, 2022; gov.sg, 2020)<\/em><\/p>\n\n\n\n

4. Decide Your Savings Goal<\/h3>\n\n\n\n

It\u2019s time to discuss with your spouse: how long do you want to save for\u2014until your children\u2019s post-secondary (i.e. polytechnic ) or tertiary education? Thinking through this helps you work out the time frame of your financial commitment and set a healthy boundary to safeguard your well being.<\/p>\n\n\n\n

The key is to be as realistic as possible; we can\u2019t dedicate 100% of our savings\u2014education planning is not just about your children; it\u2019s also about you!<\/p>\n\n\n\n

What about your passion or hobbies? How about your retirement plans?<\/p>\n\n\n\n

As much as we, parents, need to support our children\u2019s dreams, we can\u2019t forget ours; we can still pursue the life we want\u2014that\u2019s why we\u2019re planning, right?<\/p>\n\n\n\n

5. Do The Math!<\/h3>\n\n\n\n

With all the numbers ready, you can use the following table to work out the funds needed\u2014from the lump sum for each child\u2019s tertiary education to current year\u2019s expenditure, to current month\u2019s spending. (Here, you can use Table 6<\/strong> in step 3<\/strong> as a reference.)<\/p>\n\n\n\n

I hope my guide is able to help you better manage your financial stress.<\/p>\n\n\n\n

If you need more realistic and accurate figures, or if planning becomes complicated because you have more than 2 children, a financial consultant is your best help.<\/p>\n\n\n\n

So get in touch with me! I\u2019m here for you.<\/p>\n\n\n\n

IDM-MM\/PC\/220624<\/p>\n\n\n\n

\n\n\n\n

Written by Pamela Chong<\/strong> (Associate Manager<\/strong> from TN Advisory Group<\/a><\/strong>)<\/p>\n\n\n\n

At TN Advisory Group<\/a>, our services and expertise can be used to assist interested parties in relation to the various fields of financial planning.<\/strong> Should you decide to not seek advice, do consider if the product in question is suitable for you.<\/strong><\/p>\n\n\n\n

If you wish to know more, hit me up!<\/strong><\/p>\n\n\n\n

\n
WhatsApp Me<\/a><\/div>\n\n\n\n
Email Me<\/a><\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

\u201cTwo children require a monthly basic expenses of about S$5,800 to S$6,400\u201d, said an article . The numbers may be estimation, but.. Read more<\/span><\/span><\/span><\/p>\n","protected":false},"author":1,"featured_media":1799,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1797","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.tnadvisory.sg\/index.php\/wp-json\/wp\/v2\/posts\/1797","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.tnadvisory.sg\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.tnadvisory.sg\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.tnadvisory.sg\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.tnadvisory.sg\/index.php\/wp-json\/wp\/v2\/comments?post=1797"}],"version-history":[{"count":7,"href":"https:\/\/www.tnadvisory.sg\/index.php\/wp-json\/wp\/v2\/posts\/1797\/revisions"}],"predecessor-version":[{"id":2043,"href":"https:\/\/www.tnadvisory.sg\/index.php\/wp-json\/wp\/v2\/posts\/1797\/revisions\/2043"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.tnadvisory.sg\/index.php\/wp-json\/wp\/v2\/media\/1799"}],"wp:attachment":[{"href":"https:\/\/www.tnadvisory.sg\/index.php\/wp-json\/wp\/v2\/media?parent=1797"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.tnadvisory.sg\/index.php\/wp-json\/wp\/v2\/categories?post=1797"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.tnadvisory.sg\/index.php\/wp-json\/wp\/v2\/tags?post=1797"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}