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Instructions

This calculator will help you determine the cost of educating your children and how much you need to save for their education.

The graph shows your balance over time as you save for your children’s education. As you hover over each bar in the graph with the mouse, the balance for that period is shown. The list to the left of the graph displays your annual contributions over this period.

Step 1. Add the details of each child's education costs to the table in the bottom right hand corner. Select a cell in the table with the mouse, and enter the appropriate value. Press the Enter button on the keyboard when you have finished entering the value for your values to be accepted.

You can add up to 6 children’s education costs by clicking on the down arrow underneath heading ‘child 3’.
    
Step 2. Use the number scrollers underneath the graph to change the details of your investment. Below are brief descriptions of each of the scrollers.

Initial Contribution This is the initial lump sum that you invest. Interest earned on this amount is subsequently included within the calculations.
Tax Rate The tax rate over the period in question. Any interest earned on the investment is taxed at this rate.
Investment Rate This is the interest rate applied to the investment per annum.
Inflation Rate This is the inflation rate over the period in question. It is applied to each child's school fees as a way of calculating how much the fee will have increased over the period in question.
Contribution Increase Rate The percentage at which you increase your contribution per annum. It is expected that you will be able to increase the amount you contribute by this rate every year of the investment. A rate of 0% will mean a constant contribution amount throughout the term of the investment.

Step 3. The columns in the graph represent the balance of your investment over time, which should reach $0 once all of your children have completed their education.

Important notes
1. Any calculations produced by the calculator are either information or general advice only. They do not consider your objectives, financial situation and needs. You should consider the appropriate Product Disclosure Statement and seek personal financial advice from your financial adviser before deciding to purchase or hold any financial product.
2. The calculations produced are based on a set of assumptions and are general illustrations only.
3. Any projected result is not guaranteed in any way. The actual performance of any specific investment will depend on a variety of factors including future economic conditions, investment management and changes to taxation.
4. The licensed ING entities and their related companies disclaim any liability that may arise for any direct, indirect, incidental, consequential of special damages that may arise from your access to or use of the calculator.
5. A small variation in the assumptions used can lead to a substantial change in the outcomes.

Assumptions
1. Your contributions are assumed to increase each year at your chosen contribution increment rate. The first annual contribution is made in one years time.
2. School fees are assumed to increase each year at your chosen inflation rate. The school fees are paid annually at the end of the year, commencing from your selected ‘Years Until Start’ for each child.
3. The earnings rate used by the calculator is an effective per annum rate. The net earnings rate is your selected investment rate allowing for your chosen tax rate. You may alter the investment rate and tax rate to see the effect that this may have. Actual investment return will depend on the investment fund you choose and the investment performance of that fund. Past performance is no guarantee of future performance.
4. The calculator makes no allowance for the effect of other types of fees or taxation.
5. Apart from the initial contribution, the calculator makes no allowance for any other lump sum amounts you may contribute.