Education Plan for Bedo Family

Education Plan for Bedo Family

Question No. 1 A

Overall Bedo Information

In the society, people are facing so many problems. The sensitivity and gravity of the problem vary from people to people. The majority of problems in the poor and middle class families are related to house, education, health and job. Among all these, the thorniest problem is the education. There are no many parents who are unable to afford the expenses of their child. The awareness of educational loans compelled many parents to visit the consultant offices. They want to take advice from the professional planning services about different education plans. The same is the case of Bedo. The Bedo needs educational plan for the Becky. Becky is now just five years old. She has to attend college at the age of eighteen years, if all things go normal. It means Bedo has thirteen years to manage the things for the Becky college expenses. Currently, the college expenses for the semester are & 10000. It means the total amount Bedo needs for the Becky education is $ 80000. This amount will cover the four years Becky education expenses.

Client's Financial Situation

In the case of Bedo, the financial position is not good. This is the reason they are planning thirteen years before the attending of college. Additionally, they are expecting an unstable income in the future. To remain unaffected the education of Becky, they are planning for the education loan.

Situational information

This kind of information will help the advisor to decide the best plan for the client. He tries to dig out the information like who will contribute the amount on every fixed date. They are also interested to find out the relationship of contributor and the student. How the contributor will pay fixed amount on the fixed dates. When and how much the amount he wants to save for the college expenses.

Planning and discussing

Now the planner accesses all the given information. He sees the current income of the family, source of income, chosen college, inflation rate, trend of growing fees, and much more. On the basis of his experience, the planner calculates the amount which would be required in the future for the college expenses. In the same way, he also calculates how much amount; they require to save in every month or year. In the case of Bedo, the first activity would be to fill the “Free Application for Federal Student Aid (FAFSA)”. In this form, the information of the parents regarding the income and the assets is asked. The same information of the student is also required for the further process. After that, the available options for the Financial Aid options are informed to the students. The financial aid comes in three forms like the scholarship, grant and loan. In the case of Becky, this is not possible because at that time her age is just five years. Now it is the advisor which will suggest the Bedo family what are the available ...