This document provides information on education planning and funding a child's education. It discusses the rising costs of quality education and how leaving a child's educational future to chance is not an option. It then presents strategies for starting to save and plan early using education savings products to help cover tuition fees, living expenses, and other costs from primary school through college. Savings options like bank deposits are compared to investment options through funds that can help the savings grow over time to keep up with increasing costs. The document emphasizes that proper planning is key to achieving educational dreams and should not be delayed.

1. Protection.Wealth.Savings.Education.Health
THEMANULIFEGUIDETO
EducationPlanning

2. Protection.Wealth.Savings.Education.Health
Giveyourchildren
thebestofwhat
lifehastooffer
from cradle
tocollege.

3. Protection.Wealth.Savings.Education.Health
foryour
children?
dreams
Whatareyour
1
THEMANULIFEGUIDETO
EducationPlanning

4. Protection.Wealth.Savings.Education.Health
1b
THEMANULIFEGUIDETO
EducationPlanning

5. Protection.Wealth.Savings.Education.Health
option.
isnotan
futuretochance
Leaving
yourchildren’s
2
THEMANULIFEGUIDETO
EducationPlanning

6. Protection.Wealth.Savings.Education.Health
dreams?
isthekeytoreach
yourchildren’s
qualityeducation
Doyouagreethata
2b
THEMANULIFEGUIDETO
EducationPlanning

7. Protection.Wealth.Savings.Education.Health
Qualityeducationisnotcheap.
3
THEMANULIFEGUIDETO
EducationPlanning

8. Protection.Wealth.Savings.Education.Health
CostPerUnit
AverageNumberofUnits
persemester/term
TotalTuition
MiscellaneousFees
TTotalCostPer
Semester/Term
NumberofSemesters/
Termsperyear
TotalAnnualCost
PhP3,373
18
PhP60,709
Php29,291
PhP90,000
2
PhP180,000PhP180,000
PhP2,735
18
PhP49,230
Php17,936
PhP67,166
3
PhP201,498PhP201,498
PhP1,315
21
PhP27,615
Php24,094
PhP51,709
2
PhP103,418PhP103,418
PhP1,000
18
PhP18,000
Php3,500
PhP21,500
2
PhP43,000PhP43,000
TheamountsshownareestimatesprovidedbytheAssessment/AccountingDepartmentoftheuniversitiesforaComputerScience/InformationTechnologycourse.ADMU-Regularstudentstake12unitsupto
themaximumallowedinaparticularcourse.TuitionofPhP60,709applieswhetherthestudentistaking12unitsorthemaximum.Miscellaneousfees(includebasicandlaboratoryfees)=Totalcost-Total
tuition.Costperunit=TotalTuition/Averagenumberofunits UST-Totaltuition(regularstudents)=Amountperunitxaveragenumberofunitspersemester.Miscellaneousfees(includeslaboratoryandother
fees)=fees)=Totaltuition-totalcostpersemester. UP-CostmaybelowerbasedontheSocializedTuitionandFinancialAssistanceProgram(STFAP)bracket.ThebasecostperunitofPhP1,000isusedforthe
purposeofthismatrix.Themiscellaneousfeesincludelaboratoryfees. DLSU-Theuniversityobservesatrimestralacademiccalendar.Themiscellaneousfeesincludelaboratoryfeesandotherfees.
Sources:Accountingdepartment,ADMU;www.admu.edu.ph;Accountingdepartment,UST;www.ust.edu.ph;Tuitionfeecalculator,www.dlsu.edu.ph;GMANewsOnline,gmanetwork.com,April2,2013
3b
THEMANULIFEGUIDETO
EducationPlanning

9. Protection.Wealth.Savings.Education.Health
isnotjustabout
tuitionfees.
Schooling
4
THEMANULIFEGUIDETO
EducationPlanning

10. Protection.Wealth.Savings.Education.Health
Transportation
2KmTaxifare=PhP75
PhP3,000/month
Food
1meal=PhP100
PhP6,000/month
Rent
PhP5,000/month
Miscellaneous
PhP1,000/month
PhP180,000
TotalAnnual
Non-TuitionEducationcosts:
THEMANULIFEGUIDETO
EducationPlanning
SOURCES:http://www.admu.edu.ph/oir/info-international-students/housing-accomodation;
http://www.dlsu.edu.ph/students/international/survival/cost.asp;http://ltfrb.gov.ph/media/downloadable/fare_rates_MM.pdf
4b
THEMANULIFEGUIDETO
EducationPlanning

11. Protection.Wealth.Savings.Education.Health
PAST
PRESENT
FUTURE
today.
thetuition
fees
thatyoucanpay
Itisnot
enough
5
THEMANULIFEGUIDETO
EducationPlanning

12. Protection.Wealth.Savings.Education.Health
Futurevaluefactorsarebasedonage0ofthechildandanas-
sumedincreaseof10%peryear.AccordingtoCHED,thenation-
wideaverageoftuitionincreaseis8.13%forSY2014-2015.
(Source:http://www.rappler.com/nation/60323-ched-approves-
tuition-hike-116-more-schools)
Projectedtuitionfeeamountsarebasedoninitialannualtuitionand
miscellaneouscostsofPhP180,000.
5.56
PhP1,000,785
6.12
PhP1,100,864
6.73
PhP1,210,950
7.40PhP1,332,045
Age18 Age19 Age20 Age21
future.
tuition
inthe
forthecostof
Prepare
THEMANULIFEGUIDETO
EducationPlanning
5b
THEMANULIFEGUIDETO
EducationPlanning

13. Protection.Wealth.Savings.Education.Health
Tuition
Increase
?half
the
story.
Tuition
increase
isonly
6
THEMANULIFEGUIDETO
EducationPlanning

14. Protection.Wealth.Savings.Education.Health
PhP501,000
PhP478,000
PhP455,000
PhP433,000
PhP180,000
1
overa21-Yr.period
inflation
Effectof
Assumedannualinflationof5%
6b
THEMANULIFEGUIDETO
EducationPlanning

15. Protection.Wealth.Savings.Education.Health
justnewstoyou.
shouldnotbe
-to-K
7
THEMANULIFEGUIDETO
EducationPlanning

16. Protection.Wealth.Savings.Education.Health
GRADESCHOOL HIGHSCHOOL COLLEGE
ADDITIONAL
2years
Age 5 16 17
K
7b
THEMANULIFEGUIDETO
EducationPlanning

17. Protection.Wealth.Savings.Education.Health
starttoday?
Whyshouldyou
8
THEMANULIFEGUIDETO
EducationPlanning

18. Protection.Wealth.Savings.Education.Health
Year1 Year2 Year3 Year4 Year5
Timewellspentmeansmoneywellearned.
Theamazingthingabouttimeisthatitcanmakemoneygrow.Whenyouinvestorsave,
throughtime,theinterestwillgrow.Soyouendupwithmoremoneythanyouinitially
invested.Sothesooneryouinvest,thesoonertimecanworkitsmagic.
ThePowerofTime
8b
THEMANULIFEGUIDETO
EducationPlanning

19. Protection.Wealth.Savings.Education.Health
ispossible.
Bridging
theGap
9
THEMANULIFEGUIDETO
EducationPlanning

20. Protection.Wealth.Savings.Education.Health
YES NO
YES NO
GENERALINFORMATION
1.NameofChild
2.Gender
3.DateofBirth
4.Age
5.UniversityChosen
6.PresentAnnualTuitionCost
7.NumberofYearsinCollege
8.TotalCurrentTuitionCost(6)*(7)
9.TotalNon-TuitionCoste.g.transportation,food,rent,miscellaneous
10.TotalCurrentEducationCost(8)+(9)
111.YearofEntry
12.NumberofYearsbeforeenteringCollege(11)-CurrentYear
13.FutureEducationCost(10)*FutureValueFactorbasedon(12)
OTHERPROTECTION
19.Ifyouweredisabledandunabletowork,wouldyoulikeyourchild's
educationfundtocontinuegrowing?
20.Incaseofuntimelydeath,wouldyoulikeyourbeneficiariestoreceiveanadditional
deathbenefittoensurethatthetargeteducationfundwillbemet?
CURRENTSAVINGSFORCHILD’SEDUCATION
14.CurrentEducationalPlans
15.BankDeposits
16.OtherProvisions
17.TotalCurrentSavings(14)+(15)+(16)
18.EducationSavingsGoal(13)-(17)
CHILD1 CHILD2 CHILD3 CHILD4
9b

21. Protection.Wealth.Savings.Education.Health
available
thebestoption
Takeadvantageof
10
THEMANULIFEGUIDETO
EducationPlanning

22. Protection.Wealth.Savings.Education.Health
SAVINGSACCOUNT
0.25% p.a.
TIMEDEPOSIT
0.875% p.a.1
MANULIFE
PESOGROWTH
FUND3
19.56%p.a.
MANULIFE
PESOSECURE
FUND2
9.09%p.a.
Savingsaccountandtimedepositrates
aregrossof20%withholdingtax.
11-yearrateforpesotimedepositsof
PhP100,000butlessthanPhp500,000
asofAugust2014.
22Figurerepresents5-yrannualizedreturn
ofManulifePesoSecureFundasof
August2014andisnotguaranteed.
3
Figurerepresents5-yrannualizedreturn
ofManulifePesoGrowthFundasof
August2014andisnotguaranteed.
options?
fundingWhatareyour
10b
THEMANULIFEGUIDETO
EducationPlanning

23. Protection.Wealth.Savings.Education.Health
onthepocket.
easy
preparingforyour
children’seducation
couldbe
Withproperplanning,
11
THEMANULIFEGUIDETO
EducationPlanning

24. Protection.Wealth.Savings.Education.Health
Manulifeallowsyoutopayforcollege
educationcostsbyjustsettingaside9.4%
ofyourincomeforten(10)yearsasyoucan
takeadvantageofCOMPOUNDING.
800,000
700,000
600,000
500,000
400,000
300,000
200,000200,000
100,000
0
Education-relatedexpenses
Income
PhP800,000annualincome
representsthemaximumlimitofper
capitaincomerangeofthe
middle-incomeclassin2013.(Source:
www.nscb.gov.ph)
PhPhP75,345istheannualpremiumfor
a10-PayManulifeFlexiEducbundle
thatcouldprovidePhP360,000
annuallyfromage18toage21.
PhPhP360,000isthesumofannual
non-tuitionrelatedexpenses(PhP
180,000)andthetotalannualtuition
andmiscellaneouscostsinAteneode
ManilaUniversity(PhP180,000).
1
EASY
ON THE
POCKET!9.4%OFYOURINCOME
WithPay-as-you-go,
collegeeducationcosts
eatsup45% ofyour
income!
11b
THEMANULIFEGUIDETO
EducationPlanning

25. Protection.Wealth.Savings.Education.Health
costly?
delaysWhyare
12
THEMANULIFEGUIDETO
EducationPlanning

26. Protection.Wealth.Savings.Education.Health
0
100,000
200,000
300,000
400,000
500,000
600,000
700,000
Delayby1Yr. Delayby2Yrs. Delayby3Yrs. Delayby4Yrs. Delayby5Yrs.
PhP100,000investmentfor5yearsearning8% interestannually;Figuresrepresenttheopportunitycostasofyear15.
DelayCostof
THEMANULIFEGUIDETO
EducationPlanning
12b

27. Protection.Wealth.Savings.Education.Health
FutureValueFactors
Figuresrepresentthesumofannualtuitionfeesandmiscellaneousfeesforan
InformationTechnology/InformationSystemcourseasofJuly2014.
AnnualEducationCost
FORVARIOUSUNIVERSITIES
THEMANULIFEGUIDETO
EducationPlanning
13

28. Protection.Wealth.Savings.Education.Health
Howtocomputeforthe
FutureEducationCost:
a.)FromthePriorityChoice,gettheinformation
ontotalcurrenttuitioncostandthenumber
ofyearsbeforeenteringcollege.
b.)Determinethepercentageoftuitionincrease
tobeused.
c.)LocatethefactorusingtheFuturec.)LocatethefactorusingtheFutureValue
Factortable.Theyearsbeforeentering
collegeareinrows,whilethepercentagesof
tuitionfeeincreaseareincolumns.
Example:Yearsbeforeenteringcollege=18
Tuitionfeeincrease=10%
FutureValueFactoris5.56
d.)Multiplythed.)MultiplytheTotalCurrentEducationCosts
withthefuturevaluefactortodeterminethe
FutureEducationCost.
FutureValueFactors
THEMANULIFEGUIDETO
EducationPlanning
13b

29. Protection.Wealth.Savings.Education.Health
Protectionfrom
Uncertainty
throughRiders
Guaranteed
Protection
CompleteEducationPackageforyourchildren
PRODUCTSOLUTIONS
14
THEMANULIFEGUIDETO
EducationPlanning

30. Protection.Wealth.Savings.Education.Health
Securetheeducationfundfora
minimalamountintheeventof
untimelydemisewiththeTermRider.
Continuethebuild-upoftheeducation
fundintheeventofdisabilitythroughthe
TotalDisabilityWaiver/Payor’sBenefit.
ProtectionfromUncertaintythroughRiders
GuaranteedInsuranceprotection
uptoage100.
Guaranteedlimitedpremium-paying
periodoptions.
GuaranteedProtection
Buildyourchildren’seducation
fundthroughdifferentvariable
lifefunds.
Enjoyflexibility
throughvariousfund
transactions.
Maximizeyourreturns
throughaccessto
investmentexperts.
GrowthPotentialthroughaninvestmentcomponent
PRODUCTSOLUTIONS
14b

31. Protection.Wealth.Savings.Education.Health
1
PREMIUMS
WITHDRAWALS
ACCOUNTVALUE
4.5M
4.0M
3.5M
3.0M
2.5M
2.0M
1.5M1.5M
1.0M
0.5M
0
1,000,785
1,100,864
1,210,950
1,332,045
PLANDETAILS:
Insured:Male,Age40
ChildisAge0
5-PayManulifeFlexiEducPackage,
(AnnualPremium:P395,420)
-ManulifeFlexiSure,5-Pa-ManulifeFlexiSure,5-Pay,
P733,000FaceAmount
-VLAdd-on,PhP1,320,000
FaceAmount
-TermRider,PhP1,832,500
FaceAmount
--TotalDisabilityWaiverfor
BasicandVLAdd-on
Works
MANULIFE
FlexiEduc5-PayHow TOTALWITHDRAWALSFROMAGE18TO21OFCHILD
PhP4.6Million
TOTALPREMIUMS
PhP1.97Million
PRODUCTSOLUTIONS
5-Pay
15

32. Protection.Wealth.Savings.Education.Health
1
PREMIUMS
WITHDRAWALS
ACCOUNTVALUE
4.5M
4.0M
3.5M
3.0M
2.5M
2.0M
1.5M1.5M
1.0M
0.5M
0
1,000,785
1,100,864
1,210,950
1,332,045
PLANDETAILS:
Insured:Male,Age40
ChildisAge0
10-PayManulifeFlexiEducPackage,
(AnnualPremium:P239,417)
-ManulifeFlexiSure,10-Pa-ManulifeFlexiSure,10-Pay,
P827,000FaceAmount
-VLAdd-on,PhP800,000Face
Amount
-TermRider,PhP2,067,500
FaceAmount
--TotalDisabilityWaiverfor
BasicandVLAdd-on
Works
MANULIFE
FlexiEduc10-PayHow TOTALWITHDRAWALSFROMAGE18TO21OFCHILD
PhP4.6Million
TOTALPREMIUMS
PhP2.39Million
PRODUCTSOLUTIONS
10-Pay
15b

33. Protection.Wealth.Savings.Education.Health
Controland
Flexibility
Additionalprotection
throughriders
Upsidepotentialon
yourinvestmentfund
Min.5-Pay
Min.10-Pay
PRODUCTSOLUTIONS
16
THEMANULIFEGUIDETO
EducationPlanning

34. Protection.Wealth.Savings.Education.Health
Buildaneducationfundthrough
differentvariablelifefunds.
Gainaccesstoinvestment
experts.
Receivenon-guaranteedLoyalty
Bonuswhichcanbewithdrawn.
Upsidepotentialonyourinvestmentfund
Enjoyadditionalprotection
withthepackagedAccidental
DeathBenefitandTotal
DisabilityWaiver.
Prepareagainstfinancial
lossesintheeventofadread
diseasewithEnhancedCritical
Illnessrider.
Increasethedeathbenefit
foraminimalamountwith
theTermRider.
AdditionalProtectionthroughRiders
Choosetheamount
andtimingof
premiumpayments.
Programthe
scheduleofpartial
withdrawals.
Manageyourinvestmentsthrough
variousfundtransactions(e.g.fund
allocationchangeandfundswitching)
Enjoythefreedomto
choosethefundyou
willinveston.
Tailorfitthelevelofdeath
covertosuityourbudget
andprotectionneed.
ControlandFlexibility
Min.5-Pay
Min.10-Pay
PRODUCTSOLUTIONS
16b

35. Protection.Wealth.Savings.Education.Health
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
PREMIUMS
WITHDRAWALS
ACCOUNTVALUE
FortheManulifeAffluenceBuilderMin5-Pay
package,anannualriderpremiumofP1,309willbe
addedtothetotalannualpremiumquotedabove.
5.0M
4.5M
4.0M
3.5M
3.0M
2.5M
2.0M2.0M
1.5M
1.0M
0.5M
0
Child’sAge:
Insured’sAge(Parent):
FaceAmount:
RecurringTop-UpPremium:
AnnualBasicPremium:
TotalAnnualPremium:
PayPeriod:PayPeriod:
Withdrawals:
0
40,Male
PhP250,000
PhP231,000
PhP50,000
PhP281,000
55Years
Age18-21ofChild
Basedonassumed10%
INCREASEinTuitionFeeperyear
(PHP180,000base)
Works
MANULIFE
AffluenceBuilder
Min.5-pay
How
PhP4.64Million
TOTALWITHDRAWALS
PhP1.4Million
TOTALPREMIUMSPAID
1,000,785
1,100,864
1,210,950
1,332,045
Min.5-Pay
PRODUCTSOLUTIONS
17

36. Protection.Wealth.Savings.Education.Health
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
PREMIUMS
WITHDRAWALS
ACCOUNTVALUE
4.5M
4.0M
3.5M
3.0M
2.5M
2.0M
1.5M1.5M
1.0M
0.5M
0
FortheManulifeAffluenceBuilderMin10-Pay
package,anannualriderpremiumofP1,163willbe
addedtothetotalannualpremiumquotedabove.
Child’sAge:
Insured’sAge(Parent):
FaceAmount:
RecurringTop-UpPremium:
AnnualBasicPremium:
TotalAnnualPremium:
PayPeriod:PayPeriod:
Withdrawals:
0
40,Male
PhP200,000
PhP127,100
PhP40,000
PhP167,100
1010Years
Age18-21ofChild
Basedonassumed10%
INCREASEinTuitionFeeperyear
(PHP180,000base)
Works
MANULIFE
AffluenceBuilder
Min.10-pay
How
PhP4.64Million
TOTALWITHDRAWALS
PhP1.67Million
TOTALPREMIUMSPAID
1,000,785
1,100,864
1,210,950
1,332,045
Min.10-Pay
PRODUCTSOLUTIONS
17b

37. Protection.Wealth.Savings.Education.Health
Controland
Flexibility Upside
Potential
PRODUCTSOLUTIONS
18
THEMANULIFEGUIDETO
EducationPlanning

38. Protection.Wealth.Savings.Education.Health
1,000,785
1,100,864
1,210,950
1,332,045
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
PREMIUMS
WITHDRAWALS
ACCOUNTVALUE
4.5M
4.0M
3.5M
3.0M
2.5M
2.0M
1.5M1.5M
1.0M
0.5M
0
Age:
SinglePremium:
Top-UpPremium(Year2-10):
Withdrawals:
0
PhP163,000
PhP163,000
Age18-21
Basedonassumed10%
INCREASEinTuitionFeeperyear
(PHP180,000base)
Works
AffluenceGOLD
How PhP4.64Million
TOTALWITHDRAWALS
PhP1.63Million
TOTALPREMIUMSPAID
PRODUCTSOLUTIONS
18b