Private schools - take home pay

[Ohtheplacesyougo]

Hello

I have one child and thinking of moving to prep school as I’m running out of time with childcare, homework, tea and juggling work. I think I will be the hindrance if she goes to the local school.

Child is quite sporty and outdoorsy and loves the sports on offer and the DT lab.

Wouldn’t be until Yr 3 and I aim to save two years of fees should anything happen job wise.

mortgage will be about 1.5 x salary and manageable and say 75 per cent equity. Have mortgage outstanding, similar amount in investments.

I’m thinking fees will be about 10 per cent after tax We aren’t into cars (we’d be the ones in the beaten up 20 year old ones rather). So is this doable do you think? I think yes but I’m still worried. Husband less so - we are both in fairly resilient professions so could consult (with pain if needed).

I’m not interested in opinion on private educatoon - both DH and I were and is the best thing our parents invested in.

Pressed preview rather than post - I can assure I can write!!!

Or post rather than preview! Thanks all x

Sorry your mortgage takes up 1.5 x salary? Leaving you only half of one persons salary to play with?

Difficult to say without knowing the relevant financial information. Prep schools can seem affordable initially but fees rise incrementally as they get older, annual fee increases, extras (some include lunch, curriculum trips, swimming etc, others don't), uniform which gets updated every few years, team kit and so on.

Get an excel sheet out and do your monthly and yearly budget (take home pay as income)

By "mortgage 1.5 of salary" I've read that as you are borrowing 1.5 of your annual salary not that it takes up 1.5 of your income.

I went to a private school but I don't understand your question. What are you asking? Can you afford it? Do some sums!

Sorry, yes, mortgage is around 1.5 times of total salary. So mortgage is around 15 percent take home but we have a shorter term hence why seems quite high.

Only you know whether or not you will have the £10-£15k pa spare for the next 8 years. After that, consider the cost of university for another 3-6 years.

So the question is that normal affordability 10 per cent ish, take home?

I’m really worried as such a big financial commitment. To me it seems manageable - but I’m also very nervous too.

I’m running out of time with childcare, homework, tea and juggling work.
The question is, basically, time versus money. Is a fee-paying school necessarily the answer? My friend had (what was called, back in the day, don't know if there is a modern term for it) a Mother's Help - someone who did the pick-up, made DC tea, arranged play-dates etc. Not a nanny, someone specifically there for after-school care.

You don’t say where you live but in North London/Herts , private secondary schools can run to £25k at the moment and they will only increase . Uniforms are expensive and everything is extra such as lunch, coach to school, trips. At my son’s school we even had to buy text books. Basically, do you think you will have more than £30k a year to spend on schooling?

Bearing on mind the 20-30k is net of tax, ni etc. As an idea my pt salary funded fees for two at prep initially but by secondary it only covered about 2/3 of one.

Affordability wise you seem fine for now, especially if you can save 2 years worth of fees. However, at secondary school age the cost tends to rise dramatically- have you accounted for this? Also is a fee paying school really the best answer to lack of time? The holidays are so much longer than at a state school! If that’s really what is primarily driving the decision you might be better off with an after school nanny.

What is your take home though? 10% of 40k not so much 10 % of 400k absolutely.

Thanks for comments.

Yes, mother’s help is an avenue I should definitely explore - you don’t hear of them so much nowadays (prob rebranded). Holidays ok as loves clubs and stays with my parents in holidays!

Strangely, prep school fees is similar to academic private schools near us. Not for the traditional boarding schools obviously. Fee increases I will have to carefully consider.

It is so tricky!! I had only planned to send at 11+.

I don’t think I would find a school for £4k a year (if household income £40k a year) . If you know one let me know though!!

The only opinion on fee paying education you need to consider is whether you can afford it. It is vastly more expensive than when your parents bought it for you, and if you have good state schools it might not be ‘best money ever spent’. But if you have good pensions, have made sure you will have £500 a month for University contributions (after their loan had been taken) have a decent house deposit saved already for your child, (many DC who go to fee paying schools end up on average wages and can’t afford to buy homes) and if you have a decent fee paying school that isn’t a third tier one that is barely surviving, and if your state schools are not good, then go for it!

I think the question is can you afford school fees. We can't answer that with the information you have given. Do you have circa £15k net left over each year for primary fees and can you afford the year on year increases plus uniform etc? There is generally a big jump at secondary level. can you afford that and will you be happy to move your DC away from their friends if you can't.

Im not sure that private school is easier in terms of your time. A high level of parental input is expected IME and there won't be extra curricular activities every day after school (and your DC would probably be exhausted with this and homework every day anyway). You also have to factor in the extra holidays.

It sounds like you earn about 150k net though between you? You said fees are 10% of your net salary. If you earn 150k net then you should be able to pay school fees unless your other outgoings are horrendous.

Thanks all - that’s interesting re time.
The school is trying to sell as aimed at working parents but if in at 7am doing cross county in the morning, 6pm home after prep, tea and more sports she may be a bit whacked! Oh school life is so tricky. Nursery seems a breeze comparatively. I’ll have a look re nannies /mother’s help too.

I just think you’re unlikely to be getting the childcare you’re expecting. DS2 for example has to be in at 7.30 for cricket but only because he’s in the main team and only once a week in the first half of the summer term. Our attached infant school had breakfast club from 8 and after school until 5.30 but so do many state schools and it costs extra on top of the school fees.

Timings at DD prep school were 9- 5pm yrs 3-4 and then 9-6pm yr 5 onwards. She also had Saturday morning school - which was compulsory. DD was absolutely knackered in Yr 3. Watch out for the exeat weekends -basically long weekends every 3 weeks or so. DD's school just had the fridays off. Remember the holidays are longer and holiday clubs won't necessarily be up and running at the beginning and end of holidays. If school is running them then you should be ok.

DD's prep did expect a lot of input from parents; it was very much a community. There would be a least one big family social event each term (eg Bonfire night, Christmas fair - that was a biggie, summer fair). There were lots of theatre productions, musical evenings and everyone played sport on Wednesday afternoons and parents were very much encouraged to come to watch (both home & away). All of which had associated costs attached - time & monetary.

I'd find some parents from the school and ask lots of questions, lots of questions. I personally think if you're looking for childcare - find childcare and leave the school to education.

Forgot to add - it's a complete fallacy that looking after children gets easier when they go to school - it doesn't. Hours are generally shorter than nursery and the little darlings start voicing their own desires and opinions !

Sorry - me again

Re your comment about only using private school up to 11. I can't see if you've mentioned if your child is a boy or girl - however if a boy, ask some really close questions about preparing them for moving on to senior school. Traditionally boys private schools start at 13, so prep schools don't prepare the boys for entrance exams, until the last 1-2 years. I know there was a bit of disquiet at DD's prep as many parents wanted their sons prep'd for entrance exams at 10-11, ie Yr 6 to leave and start senior school in Yr 7. Basically the prep didn't happen.

If the prep school goes up to Yr 8, they will be reluctant to let you go earlier

I think what you're asking in a roundabout way is whether you can afford private day school for 1 child from Year 3 all through school on a net combined income of approx £120k, with mortgage payments of approx 18k/year - but actually less than 100k remaining on mortgage (so will be paid off before DC finishes school? ) and also having about 100k in investments. Also both in very secure professional jobs, and having not very expensive tastes in eg cars.

If I've understood correctly, then I'd say yes - that sounds like more than enough. Why do you think it wouldn't be?

7am.cross.country? The poor buggar