Education is one of the biggest long-term expenses for families in Singapore and costs continue to rise across all levels. From tuition and enrichment to living expenses, these commitments add up to a significant share of the overall cost of raising a child in Singapore. That’s why it’s important for parents to start planning early so they can provide the best for their children and keep pace with inflation.

Whether you’ve already planned or just starting out, here are four tips to guide you when it comes to saving for your child’s education.

1. Go green for more savings

The cost of new uniforms and textbooks can add up quickly, especially as your child moves through Primary and Secondary school. One easy way to save is to shop on platforms like Carousell or Facebook groups, where parents regularly list preloved items at much lower prices. Choosing to buy second hand also helps reduce waste. A study by The Circular Classroom and Singapore Management University found that most uniforms end up as general waste or are donated with uncertain outcomes¹, so giving these items a second life is a simple way to do good while keeping costs down.

Textbooks have also seen price hikes in recent years, with some increasing by up to 21 per cent. You can stretch your dollar by taking part in initiatives such as FairPrice Share-A-Textbook or checking out sustainable marketplaces like Thryft (which you can also use for fashion thrifting 💃). Smart shopping habits like these go a long way in keeping both your wallet and the planet in good shape.

2. Leverage the Post-Secondary Education Account

The Post Secondary Education Account (PSEA) is one of the easiest ways to plan ahead for your child’s learning journey. It’s opened automatically for every Singaporean child and the funds can be used to pay for school fees and even certain overseas exchange activities at post-secondary institutions, which helps offset future education spends. The government also gives occasional top ups, like the S$500 announced in Budget 2025, giving their savings a welcome boost over the years.

When your child turns 31, the PSEA will close and any unused balance will be transferred to their CPF Ordinary Account. This gives them a useful head start in their adulting journey. These funds can be used to buy their first home or even pay for certain insurance premiums like CareShield Life supplement when they’re older.   

3. Plan ahead with a dedicated savings plan for your child's education  

Parents rank the cost of education and enrichment as one of their top five financial stressors. And they’re not wrong, the cost of education has risen by 73.8% from 2004 to 2024² and is likely to continue climbing as universities adjust their fees to match higher operating costs. The good news is that with early planning, you can stay ahead of these changes and build a secure fund for your child’s future education goals.

Here’s a simple scenario to illustrate. It currently costs around S$40,000 for a four-year undergraduate degree. With education inflation of roughly 3% a year, that means that cost could rise to about S$54,000 by the time they turn 18, if your child is eight years old today. By setting aside S$450 a month now will give you a strong head start toward that goal.

Be consistent with your savings by using a plan like Singlife Smart Saver which ensures that your capital is guaranteed^ while helping you stay disciplined. Its goal-based approach lets you build a fund that is targeted to mature right when your child enters university, while the Life Stage Add-on* gives you the flexibility to enjoy lower premiums and save for other milestones, such as your own retirement.

Bonus tip: Teach your child about financial literacy early 

Teaching our children the basics of financial literacy is something many parents tend to overlook but it pays off in the long run. A 2024 survey by the National Youth Council Singapore found that only 2 in 10 youths felt confident about meeting their long-term financial goals, while more than half said they wanted stronger financial planning knowledge and skills³. Starting early means they’ll understand the value of money by the time they’re managing their own allowance in poly or university.

Simple habits like teaching them the importance of saving, tracking expenses and practising budgeting and delayed gratification can make a real difference later. When they’re older and handling a monthly allowance, paying for daily expenses or even working part time to support their lifestyle, these skills help them make smarter choices. Instead of feeling lost, they’ll know how to stretch their money, plan ahead and avoid common pitfalls like overspending or making risky investments.

Conclusion: Start planning today and the rest will follow 

Education planning may feel like a big task, but starting early turns it into something manageable and meaningful. If you’re a first-time parent, our Family Starter Pack is a great way to ease into planning for your child’s education alongside your other goals. And if you’d like something a little more tailored, you can always reach out to our trusted financial adviser representatives for a recommendation that fits your current stage of life.

^Notes

^{^ The guaranteed amount that you will receive at the Policy Maturity Date is at least equivalent to the Total Premiums Paid for the basic plan, subject to the policy terms and conditions.}

^{*The original policyholder who first purchased a Singlife Smart Saver plan (referred to as the main plan) may purchase Singlife Smart Saver Plus add-on plans at least 6 months after the main plan has been issued. The policyholder has the flexibility to choose different policy and premium terms from the main plan. The add-on plan(s) will have the same features as the main plan, with the following exceptions:
a. The add-on plan(s) do not include the Life Stage Add-on feature, and
b. Premiums for the prevailing add-on savings plan will be lower than the prevailing main plan. However, the premium of the prevailing add-on savings plan may be higher or lower than the main plan purchased.}

^{1. Source: Channel News Asia, “These two mums are giving old Singapore school uniforms a second life as bags, toys and more”, accessed on 30 October 2025.}

^{2. Source: Smartwealth, “Average Education Inflation Rate in Singapore (2025)”, accessed on 30 October 2025.}

^{3. Source: National Youth Council Singapore, “Low confidence in meeting long term financial goals despite high investment activity amongst youths”, accessed 30 October 2025.}