*This content is brought to you by Brenthurst Wealth
By Charize Beukes*Â
It’s very easy for modern parents to feel anxious about the uncertain future their kids face, especially their financial future. This is only natural because there are so many external influences that you can’t control.
However, there is one area where you can help them and give their future more certainty. And that’s by following a few simple steps that will give them a more solid financial footing from which to go into the world.
Step 1: Teach them financial fitness
Start by breeding healthy financial habits in your children so that they understand the value of money from a young age.
A piggy bank in their toddler years can be replaced by a savings account that they use to save their allowance or cash deposits receive instead of material presents.
It’s only by talking to them and exposing them to how money works that they truly learn the benefits of saving for something they desire. In the process they learn about independence and financial responsibility.
If well taught, these are lessons they’ll take into their adulthood and apply to life’s bigger financial decisions. And remember, kids copy what they see. So, it’s your responsibility to set a good example.
Step 2: Save for their education
Their university education is probably the last thing on your mind when your new-born is lying wrapped up in your lap, cooing in delight.
However, there’s no time to lose. Giving your kids the best chance at success means getting them into the best schools and tertiary education you can afford. And the best way to afford the best is to start saving from day one.
It’s estimated that a year at a private primary school will jump from around R100,000 in 2020 to more than R150,000 in 2025 and nearly R240,000 by 2030. Another five years later, you’ll be looking at more than R360,000.
Private high school costs are predicted to rise from R160,000 in 2020 to R250,000 (2025) then R380,00 (2030) and nearly R600,000 by 2035. Average yearly university costs look cheap by comparison, growing from about R70,000 in 2020 to R107,000 (2025) then R165,000 (2030) and up to R255,000 by 2035.
By investing as little as R1Â 000 a month from the time your child is born, a nominal annual growth of 10% will provide you enough to pay for their education.
Step 3: Prepare for the worst
Your best-laid plans will all be for nothing if you haven’t prepared for the absolute worst.
And the best way to do that is to take care of your family’s well-being by providing for them when you pass.
Your first line of defense is a life insurance policy that will provide for your family in your absence. These life contracts are fairly standard and easy to implement, but it always helps to speak to a trusted financial advisor. Especially because your life policy benefits should be distributed in accordance with your will.
Your last will and testament is central to passing on your assets and responsibilities to your family. We have expert knowledge in this because we are constantly working with investors to ensure their assets are optimally protected, yet available to care for their loved ones.
Step 4: Use a Tax-Free account
Apart from saving for specific goals like education, it seems foolish to not make use of the tax-free benefits offered by Treasury’s tax-free saving framework.
This allows you to save R36,000 a year up to a life-time limit of R500,000 into approved tax-free instruments. The big attraction is that your child will pay no tax on the dividends, interest or capital gains earned over the investment period.
The below graph, based on certain assumptions, shows that if you keep the money invested until your child turns 30, the value of the tax-free investment will be 42% greater than the equivalent taxable investment. By retirement age (65), this difference doubles the value of the same taxable investment.
This shows that resisting the temptation to disinvest from the fund prematurely can result in significant returns that provides your kids with a healthy start so they can build a business, buy a first home or invest further for retirement.
Assumptions: 45% Tax rate, CPI+ 6% growth p.a., R36Â 000 annual contribution up to R500Â 000 lifetime limit.
Step 5: Look after number one
The best way that you can lower your burden in retirement on your children is to prepare sufficiently for your own financial well-being.
So, engage with a financial advisor who can help you to take care of your responsibilities to your family by taking care of your future. Failing to do so could put a tremendous financial burden on your 30-something year old kids who themselves are still trying to build their lives.
Step 6: Get professional advice
Your responsibility as a parent is to care for your children. Not to be an expert in financial markets and how they’re going to perform over the coming 18 years that your newborn will be growing up.
The easiest way to navigate this process is to speak to an accredited financial advisor who can guide you on how to achieve your goals. You’ll be rewarded many times over by counting on the expertise of financial advisors and the insights we get from high-experienced fund and wealth managers.
- Charize Beukes is an Assistant Financial Planner at Brenthurst Wealth Pretoria.
Megan joined the Brenthurst Wealth team in March 2026 as an Administrative and Fiduciary Services Assistant at our Val de Vie Office in the Western Cape. Prior to joining Brenthurst, Megan gained three years of experience in the retail sector, where she developed management and client service skills.
I obtained my National Diploma in Financial Information Systems from the Cape Peninsula University of Technology in 1999 and have worked in the wealth management industry since January 2000. Over the years, I have gained extensive experience in various roles, including Portfolio Manager Assistant, Planner Assistant, and Paraplanner.
Esmarelda Isaacs-Andreas joined the Brenthurst Wealth Stellenbosch office in October 2025, taking on the dual role of Receptionist and Fiduciary Administrator.
I obtained my National Diploma in Financial Information Systems from the Cape Peninsula University of Technology in 1999 and have worked in the wealth management industry since January 2000. Over the years, I have gained extensive experience in various roles, including Portfolio Manager Assistant, Planner Assistant, and Paraplanner.
Ashley joined Brenthurst Wealth in January 2025 as Office Administrative Assistant and Receptionist for the Stellenbosch Office.
René Heystek joined Brenthurst Wealth in November 2023, as receptionist and administrative assistant in the newly established George/Garden Route office.
Michelle Heystek has built a career in the financial services over the last two decades, after obtaining her B.Com degree in Financial Management in 2005. Once she joined Brenthurst in 2006, she continued her academic journey, obtaining her Certificate in Wealth Management from INSETA in 2007, followed by a Postgraduate Diploma in Financial Planning from the University of the Free State. In 2008, she earned the Certified Financial Planner (CFP®) designation.
Anelle joined Brenthurst Wealth as a Receptionist and Administrative Assistant to Brian Butchart in the Cape Town office in December 2023. She has a wealth of knowledge from working as a liaison between Financial Advisers and clients at TMA and Absa Investment Management Services (Aims) since 1998. She obtained her B. com degree from the University of Port Elizabeth in 1997.
ADMITTED ATTORNEY | FINANCIAL PLANNER & HEAD OF BRENTHURST FOURWAYS
Sanet was appointed in April 2020, joining our Cape Town team as an Executive Administration Assistant to Renee Eagar. She has been in the financial services industry since 1990. Her previous experience includes positions at Sanlam, BJM and ABSA. She spent her last 12 years working at Alexander Forbes Private Client Wealth as a Senior Wealth Management Assistant. She has received numerous accolades over the years which include but not limited to, Alexander Forbes Client Service Excellence – Silver award in 2014,2015 and 2017. Sanet has also obtained her Certificate in Wealth Management (NQF 5) in 2012 and achieved “Best Student of the Year” from Moonstone.
Maria Smit is a Certified Financial Planner® with over 10 years of experience in the financial planning industry.
