Many of our clients prefer to take a risk adjusted approach when saving for education. Often referred to as “Capital Protection”, this approach seeks to minimize risk through multiple layers of diversification, all while protecting your savings from the effects of inflation.
The sooner you start the easier it will be. You will have more paychecks between now and their university entrance, and more time for compound interest to take effect in growing your savings (this translates to you having to devote a much much smaller percentage of your monthly/annual budget towards saving for university, freeing money up for other equally important things…)
It is worth taking into consideration the fact that university fees are increasing throughout the world. Also, it is possible your child may have the dream of studying somewhere outside your home country…
Assuming everything will just take care of itself is an unwise strategy which could very well leave you with a large and unexpected bill or even worse, a child who is unable to fulfill their potential due to your monetary mistakes and mismanagement.
Instead, it would be prudent to plan for adequate university fees, and if your child does in fact get a scholarship, you could always use the saved money to reward them with a car, house down payment, expensive wedding, or even put the funds towards other financial goals of your own..