The children of Bermudians who put money into an education savings fund to pay future fees for their child's education are 100 percent more likely to complete a post-secondary or tertiary education than those who don't have any savings.

So says Jason Maguire, who is executive vice president of Heritage Education Funds International, which has an office in Hamilton.

This year alone it has paid out a record $2.7 million to families on the Island to pay for their children's ongoing education.

Taking a business-like approach to the future education of your child has proven to bring a real, measurable increase in the likelihood that they will succeed at a higher level, says Mr. Maguire.

"I believe a person who starts a saving plan for the child so they will be able to afford to go to college and university instills in their child the belief that they will indeed go to university - it instills in them that they value education," said Mr. Maguire.

"Research proves that having the financial wherewithal to attend post-secondary educational institutions leads to higher student graduation rates.

"In fact, a child has a 100 percent better chance of completing a post-secondary or tertiary education with a Heritage International Scholarship Trust Plan than if they didn't have any savings at all."

Presently the company has 2,700 children from Bermuda covered by its education trust plans.

The cost of sending a child to a four-year college or university in Canada, the US, UKor Caribbean is expected to range between $117,000 and $286,000 by 2020. Starting a savings plan sooner rather than later helps to build up adequate funds as income profit is compounded.

Mr. Maguire told The Royal Gazette that cost should not be a barrier to any parent as there is no minimum figure. Even $5 a month will provide some starting point for a child's education costs at a later date.

"They might look at it as 'well, I might not have all the money to fund my child's education, but I will be able to give them a good start' and that might be having the funds for the first year, or for the first two or three years," he explained.

The plans are also flexible enough to allow breaks when a family's financial circumstances change, such as through a job redundancy.

While it is possible for a parent to save and invest elsewhere for their child's education, for example with stocks and mutual funds, the Heritage Education Funds International approach is to reduce risk or market turmoil by holding assets in government bonds and fixed-income investments."

This is specific to education savings plans. We want to have safe and conservative returns,"said Mr. Maguire.

Heritage Education has, since 1988, paid out $15m towards the education of Bermudian children through its plans.

Mr. Maguire said: "Those parents are breathing a sign of relief thinking 'thank goodness I started something.' Everyone recognises the importance of education these days."

In Bermuda Heritage Education has an office in Washington Mall and between 30 and 40 representatives. Anyone interested in more information about the Heritage Education Funds and education savings plans should contact either Charles Jeffers on 292-9533 or George Smith on 295-3868.