Can anyone explain and say how much roughly uni costs will be and what savings they will need

[Willbeatjanuaryblues]

If they have their own isa with 30 grand in it or more will they qualify for students loans or will they have to use their own savings.

And is there an amount to aim for or a threshold of savings. I have tried a quick Google and I'm not really getting anywhere.

It!s based on their taxable income and the income of the household.

Gov.uk explains
www.gov.uk/student-finance/new-fulltime-students

Also helpful (as ball park) living cost figures is this info from Which?
university.which.co.uk/advice/student-finance/whats-the-average-cost-of-living-at-university.

Factor in how much you can afford each month to help, eg I paid food and accommodation costs for my DS.

If your child is still young start saving now would be my advice.

Is this for a mature student

Fees are 9K a year.
He will be entitled to loans still as they are based on your earnings as they are classed as dependent until 21.
Just be careful about giving access to 30k whilst at uni.

I’m counting on accommodation/living costs of about 7k per year. Started saving when mine was 12. Only just paid off my own loan!

Student maintenance loans are means-tested according to household income. Virtually everyone gets the tuition fee loan of around £9000. Martin Lewis (money saving expert) recommends people use that option and not pay it outright. The least amount you would get for living costs (if you earn in excess of around £60k ??? I think. Check it out) is about £3,900. Hall fees (even the cheaper and self-catering ones) are often more than that, so living costs have to be funded on top of that. How much is the proverbial piece of string. I would hazard a guess that we've paid around £6000 a year on top.

Living costs vary but 9k + seems nearer the average . THE student room website will have up to date figures

The loan forms asked about my income not dd savings

The loan will cover tutition fees and , depending on parent income , an additional 3 to ?7 k for living costs ( assuming they don’t live at Home) which leaves most students short . They top up either by working ( course dependent, some science courses in particular advise against this due to the number of taught hours) , their saving or parents

I haven't paid off my loan yet

Without being gloomy I don't anticipate we will be able to fund them at all during uni if they want to go. To be honest whilst I feel all eduction is amazing to have I don't feel it's entirely neccsary to get on in life. I had not ancipated it as an option for them until this new development.

It's grandparents who have said that they will start to pay into isa for them.

They could end up with quite a sum if that's the case but I don't want them to then be left with not enough because they have too much to qualify for grants.. But not enough to cover all their costs... If that makes sense!

If the gp started paying in the the max now for both of them, and it was in stocks isa there's a chance it could reach 50 thousand and beyond.

Everyone doing a first degree will be eligible for a tuition fee loan and a maintenance loan. The amount of maintenance loan you are entitled to is based on household income. It's fairly straightforward to work out what this will be from the student finance page.

Most universities will have a guide to cost of living in their city and how much you can reasonably expect to need.

DS was only entitled to the minimum studentnloan based on our income, which we top up to around the same annual figure as the full maintenance loan. In high cost areas this may not be enough.

DS1 has found that the maintenance loan pays for his hall fees. He has been frugal with what we contribute so is effectively saving much of what we give him and will try to use this to pay off some of his loan early.

Dd will be going to university and we aren’t able to support her financially apart from the odd Tesco shop or whatever, we are a very low income family and just can’t afford it. They can and do manage if they need to - there are loans and maintenance loans and bursaries etc. My dh did it under similar circumstances and survived! Although obviously any extra savings help most students won’t have them, I think it’s common for students to struggle!

Yes, don't worry about the money from the grandparents, it's household income that matters. Everyone is entitled to the £9250 for tuition for a first degree. Mine get minimum maintenance loan to live on & we pay their rent (£4000-£7000/year). If they are on a low contact hours course they should be able to get a job to fund that bit, but there is no guarantee, of course.

Ok.

So a lump sum of 50 grand may cover the both then for all extras they may need.
Dh and I at present couldn't afford to save for uni for them, all our savings and costs covered are for now.

Yes it's normal for students to struggle but I don't want to them to come out with tens of grand of debt. Or loans they have to pay back etc.

Whatever savings they have, they should still take the loans. Most people don't pay them off and they should be regarded as a graduate tax not debt.

Make sure you read the moneysavingexpert information on how loans and repayments work before you even think of not taking out loans or worrying about paying them back.

Is this what people do now - save thousands for their children to go to uni?

Forgive my shock - I’m in my thirties, have small children, it’s been many years since I went to uni. I’m still paying off my own loans.

Always been kind of aware of what they do in the US - huge uni fees and parents saving to fund it. Is it like that now?

For most people money from parents or grandparents would be better used on a house deposit or things like driving lessons, although be aware that living costs loans depend on parental income and are often inadequate especially in high cost areas and parents are expected to cover the gap, although the students can often work through university too.

Student debt is very different to “normal” debt. Personally I would rather my dc got into student debt and then I gave them a lump sum / savings towards a house... !

@RedCrab

Is this what people do now - save thousands for their children to go to uni?

Yes! If they are able to.

Whilst looking at the loans as a graduate tax is not unreasonable, the interest really does stack up. If your child is likely to earn enough to pay off the full loan then it does make sense to pay it off early and avoid the interest IMO.

Another option if grandparents want to save regularly would be to start a pension for them. The government will give you tax relief on this up to a certain amount (I forgot what) which immediately bungs an extra 25% on top. I think this will be stopped eventually so might be worth making the most of it now.

Fairy I'm not sure.

I do value eduction but I'm not 100 convinced that university is the right route and for everyone

I've got my own loan still there hanging round my neck, I've never earned enough to pay it off.
It's alot of money for them to be able to access at 18.

I'm wondering if it might be better for the gp to just do their own savings for them.....

Really that's a v good idea to put it into a sipp.

If DC are ambitious enough then they will find a way to go to university without being mollycoddled by mum/dad/grandparents. DNiece took a year off after A levels and worked two jobs to help towards her uni expenses and has been frugal whilst studying but still manages to have fun. Her sister is planning to go down the apprenticeship route.

If I had £30k to lavish on my DC (I don't!) it would go towards a house deposit..

Saving for and paying DCs rent and costs is very MN.

I don’t know anyone who does this for their kids in real life aside from the odd bit of money or food.

I've got my own loan still there hanging round my neck, I've never earned enough to pay it off

then it's not hanging round your neck, is it? Just forget about it.

How old are your kids? Surely it's their decision if they wish to go to uni, not yours,

It doesn't have to be a SIPP (self-invested personal pension), any personal pension scheme will offer tax relief.

We're doing a mixture of this and help to buy ISAs for our older children, which also give you 25% top-up. The difference is that they can access it more easily for a house deposit.

kondo saving for uni was not on our horizon either they have a small sum currently in thier junior Isa's and I ear marked that for car and driving lessons!

I'm not sure in 15 years time whether 30 would make a dent in house deposits.

The other strange thing to consider for us is that grandparents have formed for being controlling with money. Dh himself, his dsis and indeed thier cousins all seem to have a very bad relationship with money. Ie too tight, let it dominate them, scared of spending a penny.
I'm aware this sounds odd but it's had a strange affect on the them all

I want my dc to go out and have fun, spend money, do things live and have experiences.

Not a single person in dh family seems to have any real life experiences at all!

Lots of money in the bank but not so much in the memory bank

Bluntness yes exactly!

They may not want too. Dh was pushed into it which is why I'm trying to consider all angles of this 'gift'.

If they want to go it's got to be off their own backs.

I thought only sipp was possible to open up yourself. What other pension vehicles are there?