|By PR Newswire||
|August 25, 2014 06:00 AM EDT||
Parents are willing to pay for majority of their children's college or university costs, expected to be around $64,000 per child, but their kids think they are only covering a third of the tab
TORONTO, Aug. 25, 2014 /CNW/ - Two new polls from CIBC (TSX: CM) (NYSE: CM) show that Canadian parents and their kids are on different pages when it comes to financing post-secondary education.
Parents, on average, are willing to pay for two-thirds of their children's post-secondary education and some are planning to pick up the full tab. Their kids, however, think their parents are only paying for a third of their costs. The good news for parents is that 41 per cent of their children think even that is too much and say their parents should contribute 25 per cent or less.
Key poll findings include:
"Parents and students need to understand the cost realities of post-secondary education and in many cases what each will contribute to share the expenses," says Marybeth Jordan, Managing Director and Head, CIBC Investor's Edge. "Part of the disconnect between parents and their children is likely that students aren't accounting for all of the costs beyond tuition. That's why the conversation between parents and students about the full costs of education, and how to pay for it, needs to start long before the first tuition payment is due."
"While it's clear from our polling that parents want to help pay for their children's post-secondary education, in most cases they are taking on the lion's share of a rapidly rising expense - and covering far more than their kids realize," adds Ms. Jordan.
Parents and students need to prepare for the cost realities of post-secondary education
A recent CIBC poll found that students are finding it difficult for students to cover their own education costs due to both a tight labour market and the rising costs of post-secondary education in Canada. Tuition costs alone have increased by 44 per cent in Canada over the past decade, according to the Canadian Centre for Policy Alternatives.
"Given that parents today expect that it will cost about $64,000 to put each child through school, it is extremely difficult to play catch up on an education fund when their kids are in high school," says Ms. Jordan. "It's important for parents to include education in their overall financial plan and start making contributions, no matter how small, while their kids are young."
"Not having a plan can compromise their own financial priorities of paying down debt and saving for retirement," she adds.
Tips to help manage education costs:
Build an education plan - Parents should consider the real costs of post-secondary education and
build a savings plan that outlines how much the student will cover and
how much the parents will contribute.
Use a Registered Education Savings Plan (RESP) - An RESP builds education savings faster, taking advantage of the Canada
Education Savings Grant to grow your investment. CIBC Investor's Edge
was the first bank-owned self-directed brokerage to remove
administration fees for RESP accounts, helping parents to start small
and save more for their children's education.
Start the conversation early - Parents and students should discuss post-secondary education goals to
understand if the student intends to pursue higher education and, if
so, whether they plan to attend college or university and whether they
will stay at home or go away to school.
Create a budget - Having a financial plan in place for students before school starts can
help make the most of your resources. Use the CIBC online Budget
Calculator to get a clear picture of all your expenses, and how much
you have to spend.
Track spending - Use the CIBC Mobile Banking App to see account transactions and
balances in real time. Services such as CIBC CreditSmart® can also help
students stick to their budget, by allowing them to set a budget limit
on each spending category on their credit card, and be notified by
phone, email or online message when they exceed their customized
- Student Banking Offer - CIBC offers a bank account for students with unlimited transactions and no monthly fees. A CIBC student bank account makes student life simple and provides peace of mind that their everyday banking won't lead to unexpected charges.
KEY POLL FINDINGS
The average percent that parents with children under 25 in Canada plan to pay for their child's post-secondary education:
The average expected cost that parents with children under 25 in Canada think their child's post-secondary education will be:
The sources by which college and university students in Canada expect their post-secondary expenses will be paid:
|Students, through their jobs||33%|
|Parents or other family||33%|
|OSAP / Government loan||18%|
|Scholarships or bursaries||10%|
|Personal loan / line of credit||4%|
The percentage which college and university students think their parents should contribute to their school expenses:
|Between 0 and 25%||41%|
|Between 26 and 50%||27%|
|Between 51 and 75%||15%|
|Between 76 and 100%||16%|
Leger conducted an online survey of 1,056 Canadian parents with children under 25 between July 21 and 23, 2014 and 500 Canadian university or college students between July 10 and 17, 2014. The survey of parents has an associated margin of error for a probabilistic sample of the same size of +/-3.1%, 19 times out of 20. The survey of post-secondary students has an associated margin of error for a probabilistic sample of the same size of +/-4.38%, 19 times out of 20.
CIBC is a leading Canadian-based global financial institution with nearly 11 million personal banking and business clients. Through our three major business units - Retail and Business Banking, Wealth Management and Wholesale Banking - CIBC offers a full range of products and services through its comprehensive electronic banking network, branches and offices across Canada with offices in the United States and around the world. You can find other news releases and information about CIBC in our Media Centre on our corporate website at www.cibc.com.
Today air travel is a minefield of delays, hassles and customer disappointment. Airlines struggle to revitalize the experience. GE and M2Mi will demonstrate practical examples of how IoT solutions are helping airlines bring back personalization, reduce trip time and improve reliability. In their session at @ThingsExpo, Shyam Varan Nath, Principal Architect with GE, and Dr. Sarah Cooper, M2Mi’s VP Business Development and Engineering, will explore the IoT cloud-based platform technologies drivi...
Jul. 2, 2015 02:00 PM EDT Reads: 990
Containers have changed the mind of IT in DevOps. They enable developers to work with dev, test, stage and production environments identically. Containers provide the right abstraction for microservices and many cloud platforms have integrated them into deployment pipelines. DevOps and Containers together help companies to achieve their business goals faster and more effectively. In his session at DevOps Summit, Ruslan Synytsky, CEO and Co-founder of Jelastic, reviewed the current landscape of...
Jul. 2, 2015 01:45 PM EDT Reads: 2,266
Live Webinar with 451 Research Analyst Peter Christy. Join us on Wednesday July 22, 2015, at 10 am PT / 1 pm ET In a world where users are on the Internet and the applications are in the cloud, how do you maintain your historic SLA with your users? Peter Christy, Research Director, Networks at 451 Research, will discuss this new network paradigm, one in which there is no LAN and no WAN, and discuss what users and network administrators gain and give up when migrating to the agile world of clo...
Jul. 2, 2015 01:36 PM EDT Reads: 247
Manufacturing has widely adopted standardized and automated processes to create designs, build them, and maintain them through their life cycle. However, many modern manufacturing systems go beyond mechanized workflows to introduce empowered workers, flexible collaboration, and rapid iteration. Such behaviors also characterize open source software development and are at the heart of DevOps culture, processes, and tooling.
Jul. 2, 2015 01:15 PM EDT Reads: 679
"We got started as search consultants. On the services side of the business we have help organizations save time and save money when they hit issues that everyone more or less hits when their data grows," noted Otis Gospodnetić, Founder of Sematext, in this SYS-CON.tv interview at @DevOpsSummit, held June 9-11, 2015, at the Javits Center in New York City.
Jul. 2, 2015 01:00 PM EDT Reads: 1,023
SYS-CON Events announced today that JFrog, maker of Artifactory, the popular Binary Repository Manager, will exhibit at SYS-CON's @DevOpsSummit Silicon Valley, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Based in California, Israel and France, founded by longtime field-experts, JFrog, creator of Artifactory and Bintray, has provided the market with the first Binary Repository solution and a software distribution social platform.
Jul. 2, 2015 01:00 PM EDT Reads: 1,196
Internet of Things (IoT) will be a hybrid ecosystem of diverse devices and sensors collaborating with operational and enterprise systems to create the next big application. In their session at @ThingsExpo, Bramh Gupta, founder and CEO of robomq.io, and Fred Yatzeck, principal architect leading product development at robomq.io, discussed how choosing the right middleware and integration strategy from the get-go will enable IoT solution developers to adapt and grow with the industry, while at th...
Jul. 2, 2015 12:00 PM EDT Reads: 2,003
Containers are revolutionizing the way we deploy and maintain our infrastructures, but monitoring and troubleshooting in a containerized environment can still be painful and impractical. Understanding even basic resource usage is difficult – let alone tracking network connections or malicious activity. In his session at DevOps Summit, Gianluca Borello, Sr. Software Engineer at Sysdig, will cover the current state of the art for container monitoring and visibility, including pros / cons and liv...
Jul. 2, 2015 11:50 AM EDT Reads: 372
The last decade was about virtual machines, but the next one is about containers. Containers enable a service to run on any host at any time. Traditional tools are starting to show cracks because they were not designed for this level of application portability. Now is the time to look at new ways to deploy and manage applications at scale. In his session at @DevOpsSummit, Brian “Redbeard” Harrington, a principal architect at CoreOS, will examine how CoreOS helps teams run in production. Attende...
Jul. 2, 2015 11:17 AM EDT Reads: 387
"We have a tagline - "Power in the API Economy." What that means is everything that is built in applications and connected applications is done through APIs," explained Roberto Medrano, Executive Vice President at Akana, in this SYS-CON.tv interview at 16th Cloud Expo, held June 9-11, 2015, at the Javits Center in New York City.
Jul. 2, 2015 11:15 AM EDT Reads: 1,025
Malicious agents are moving faster than the speed of business. Even more worrisome, most companies are relying on legacy approaches to security that are no longer capable of meeting current threats. In the modern cloud, threat diversity is rapidly expanding, necessitating more sophisticated security protocols than those used in the past or in desktop environments. Yet companies are falling for cloud security myths that were truths at one time but have evolved out of existence.
Jul. 2, 2015 11:00 AM EDT Reads: 2,186
The cloud has transformed how we think about software quality. Instead of preventing failures, we must focus on automatic recovery from failure. In other words, resilience trumps traditional quality measures. Continuous delivery models further squeeze traditional notions of quality. Remember the venerable project management Iron Triangle? Among time, scope, and cost, you can only fix two or quality will suffer. Only in today's DevOps world, continuous testing, integration, and deployment upend...
Jul. 2, 2015 11:00 AM EDT Reads: 2,105
IT data is typically silo'd by the various tools in place. Unifying all the log, metric and event data in one analytics platform stops finger pointing and provides the end-to-end correlation. Logs, metrics and custom event data can be joined to tell the holistic story of your software and operations. For example, users can correlate code deploys to system performance to application error codes. In his session at DevOps Summit, Michael Demmer, VP of Engineering at Jut, will discuss how this can...
Jul. 2, 2015 10:46 AM EDT Reads: 346
"A lot of the enterprises that have been using our systems for many years are reaching out to the cloud - the public cloud, the private cloud and hybrid," stated Reuven Harrison, CTO and Co-Founder of Tufin, in this SYS-CON.tv interview at 16th Cloud Expo, held June 9-11, 2015, at the Javits Center in New York City.
Jul. 2, 2015 10:45 AM EDT Reads: 717
"Plutora provides release and testing environment capabilities to the enterprise," explained Dalibor Siroky, Director and Co-founder of Plutora, in this SYS-CON.tv interview at @DevOpsSummit, held June 9-11, 2015, at the Javits Center in New York City.
Jul. 2, 2015 10:00 AM EDT Reads: 1,111