Sydney the second worst city for cost of public education

Sending your child to a Sydney independent school could burn a five-figure hole in your pocket, with schools in our city charging up to $60,000 more than similar schools interstate. See how your school ranks.

Sending your child to an independent school in Sydney will cost you as much as $60,000 more than similar schools in any another Australian city.

The Futurity Investment Group cost of education index surveyed more than 2000 Australian families and found 13 years at a NSW independent school will cost an estimated $357,931, which is 19 per cent higher than the national average.

School fees only make up a little more than half that cost.

Public school parents don’t fare much better, with Sydney second only to Melbourne for the most expensive government education. The estimated total cost could be as much as $89,500 in the city and $82,823 in the bush, making NSW’s regions more expensive than any other state’s.

97 per cent of that amount will be spent on additional expenses like outside tuition, musical instruments, electronic devices and transport each year.

Futurity Investment Group’s Kate Hill said increased prices are putting parents under more financial pressure, especially outside metropolitan areas.

Nationwide, families were expected to spend an average of $844 on tech but that figure jumps up to $1368 for those in regional NSW, she said.

“Parents having their young kids go to school for the first time this year will probably feel that, every two minutes, their hands are back in their pockets paying for something else school-related,” Ms Hill said.

“If you’re looking at your chosen (independent) school’s fee page on their website, expect to almost double that, for what it’s going to actually cost you.

“Our strong advice is that (parents) get a really good understanding of what they might be up for, and then put a plan in place to save towards that education goal.”

Western Sydney parents Tatiana and Neil Jones are sending their triplet daughters to a public school kindergarten this year and have already forked out $1000 on uniforms – and that’s before buying leather shoes.

Four-and-a-half year old triplets Anastasia, Indy and Leilani with dad Neil Jones, who’ll ride the girls to school in their trike. Their uniforms cost $1000 - minus the shoes. Picture: Julian Andrews

Four-and-a-half-year-olds Anastasia, Leilani and Indy have three sets of uniforms each to start at Yennora Public School but, even “thinking outside the box” by buying non-branded items with back-to-school vouchers and bigger sizes to accommodate growth spurts, the cost hit the bank of mum and dad hard.

“It was quite full-on,” Ms Jones said.

“We were fortunate that Neil’s mum helped us, (school items) were part of their Christmas presents.”

Ms Jones is already considering starting a rainy-day fund for electronic devices and said the state government needs to consider how it will support families with buying electronics as the curriculum becomes more digital.

“It’s even something I’ve started to consider – do I need to start putting away money now for the girls to have iPads in a few years?” she said.

FAMILIES FORCED TO TAKE OUT EXTRA LOAN

Parents in NSW have taken out more than $7 million in loans to cover their kids’ back-to-school costs over the last five years.

NAB reports it has issued 6219 interest-free loans worth a total of $7,419,741 to struggling families since 2018, providing them an average of $1193 to cover school costs.

The bank has seen the uptake of its education loans grow by 130 per cent and expects to double its pre-pandemic figures in February to cover $450,000 worth of uniforms, books, stationery and electronics nationwide.

NAB has provided more than $7 million in loans to cover NSW’s parents back-to-school costs. Picture: AAP Image/Joel Carrett

Head of customer vulnerability Mike Chambers said families often face the credit card bill for Christmas spending in January, just when they need to look at the back-to-school shopping list.

“During the pandemic, we saw a spike in no-interest loans to help meet the need for laptops and software for remote learning,” Mr Chambers said.

“With the cost of living on the rise, we expect to see even more families on low incomes looking to access no interest loans to help manage school costs.”

The no interest loans, offered in partnership with financial assistance charity Good Shepherd, provide a better alternative than a high interest payday loan.

Good Shepherd’s director of client services Dave Vicary said the loans are a “safe, fair, and affordable credit option” to help households manage their budget.

“With the rising cost of fuel, food and energy prices, we know how much of a financial burden the new school year can be, especially when you’re already on a tight budget,” Mr Vicary said.

“(With) no interest loans there are no hidden fees or charges – you only pay back what you borrow.”