How to Help Your Child Save Money Before Studying Abroad

There isn’t much parents won’t do for their kids, including helping them fund a trip to study abroad. These trips can vary in length, with some going for a mini-term while others study abroad for one or two semesters at a time. During the first three quarters of 2020, nearly 166,000 spouses of U.S. citizens obtained lawful permanent residency with status adjustments and are now allowing their kids to go out of the country to study. Before your kids start studying abroad, use the ways below to help them build and save money for their trip.

Create a Savings Plan and Account

Once you and your child have determined that the study abroad trip is happening, a plan needs to go into place for savings and move this money into its account. You can utilize online savings accounts to store the funds so that you can see them and pull them out once you need them without penalty. Many of these programs are offered through private schools so the tuition costs will be substantial. According to US News, there are at least 30,000 private schools in the United States.

If your child is currently working, they can save 20 percent of that income into this savings account and apply towards expenses. If they are out on the break and not currently in classes, it may be a good idea for them to get a second job to supplement their income if it’s close by and part-time. They can commit all these earnings to the savings account.

Take Advantage of Fundraising Options

If you want to help your students and get the community involved, they can use fundraising options. They can sell everything from candy to candles, which will help them bring in additional revenue to cover tuition for the program and expenses once they reach their destination. Over 1 billion pounds of wax are used in candle production annually, some of which go to fundraisers to assist these students.

Apply For Scholarships

Students who want to study abroad can apply for scholarships that will help cover the cost of tuition and room and board during this trip. In most cases, they can apply for them through the school where they are doing the semester abroad or sponsor the trip. They also have private federal scholarships they can search for online and apply for. These scholarships will likely request essays about where the student is going and their plans once they get there. They need to be prepared to describe in length why they think this trip is important to their education and how it can improve them for the future.

Student Loans

While this may not be ideal if you haven’t been able to secure the funds you need for your kids to study abroad, you can always apply for student loans to cover these expenses. If they take classes that will apply to their degree completion, then federal student loans will cover these expenses. There is also the option of private student loans through several financial lenders willing to fund such projects and may be willing to give larger loans instead of a set amount put in place by the federal government.

Get Your Student Prepared For Study Abroad

These expenses will include air fare, lodging, spending money, and tuition that needs to be covered while your kid is away studying abroad in an international country. Even if you have to come out of your savings to help cover the cost, this is a rewarding experience that can prove invaluable. Teach your kids the value of a trip by having them help save and prepare for it financially, but also be willing to assist at the last minute if goals aren’t met. Even if they exceed the goals, you can give them a little extra to make sure they have everything they need while they’re away.