IFG Life Highlights Importance of Early Education Fund Planning

IFG Life, a member of the state-owned insurance, guarantee, and investment holding company IFG, believes that planning for education funds should be part of family financial planning so that parents are better prepared for their children’s future educational needs. Education is one of the long-term investments that needs to be prepared from an early stage by every family. Besides being an important provision for a child’s future, the cost of education also continues to rise along with the increasing levels of schooling.

According to the 2024 Education Supporting Statistics published by the Central Statistics Agency (BPS), the average cost of education at the primary school level reaches Rp4.56 million per academic year. This figure increases to Rp10.19 million per academic year at the senior secondary school level. This data shows that education is a long-term need that requires careful financial planning from an early stage.

BPS data also shows that the average cost of primary school education for the top 20 percent of households by expenditure reaches Rp8.88 million per academic year, while for the bottom 40 percent of households it is recorded at Rp3.28 million per academic year. Although the financial capacity of each family differs, the need to prepare for children’s education remains a priority.

Fabiola Noralita, Director of Individual Business and Acting Director of Corporate Business at IFG Life, stated that every parent wants to provide the best education for their children. Therefore, planning for education funds should not wait until the child enters school age, but should be prepared from an early stage as part of family financial planning.

“With more thorough preparation, families will have a greater opportunity to realise their children’s educational aspirations without disrupting other financial needs. At the same time, families also need to prepare protection against various risks that can affect the household’s financial condition so that the children’s education plan can proceed as expected,” said Fabiola.