Encourage clients to talk to kids about education

Your clients may underestimate the sway they have over their children’s post-secondary education choices, says an RBC survey.

While 28% of students say they chose the program they’re in to please their parents, only 21% of parents think they have this influence. What’s more, when it came to deciding whether or not to go to post-secondary school, 10% of students made this decision to satisfy their parents, but half as many parents felt the same.

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Students are more pessimistic about their future than their parents may realize. In fact, 75% of students are concerned about choosing a program that won’t help them get a job after graduation, and 55% say that after graduation they will likely have to compromise their values and take a job that pays the bills instead of being fulfilled.

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Your clients have invested heavily in ensuring their children have good university or college educations. To help ensure their savings aren’t squandered, encourage your clients to:

• Check in on progress: Universities and colleges may not send report cards home, but parents and students need to discuss progress and difficulties every semester. It will help avoid difficult situations, such as sudden drop outs or unexpected changes of academic focus.
• Set education goals: Students should ask themselves why they are going to school and what they want to accomplish with their degree or diploma. That way they have a clear path in mind right from the onset of school.
• Do your research: Students should have an idea of their career prospects before embarking on studies. Look at labour market trends and the types of jobs and salaries they can expect upon graduation.

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Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.