More parents picking up tab as education costs soar: study

As the cost of living and education prices rise, a new survey shows parents are the ones footing more of the bill in order to cover their kids' basic needs.

Parents are spending more when it comes to helping their kids get a college or university education and according to the TD Bank survey, it’s putting households under significant financial pressure.

“I think it’s very expensive here in Halifax,” said Dainty McDonald-Byrd, who drove her daughter, Kalifa, from Winnipeg to attend Dalhousie University. “We’ve already paid more than $2,000 for our travel.”

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Kalifa is studying science and says she will rely on her mother to pay half her education but is thankful she received an academic scholarship. However, she says that won’t cover all tuition.

“I thankfully have support from my mom here,” said Kalifa. “But I am trying to remain independent and pay as much as I can.”

The TD Bank survey polled 514 students and 515 parents between July 26 and Aug. 4 to get their perspective on the increased costs of living and tuition.

From a students perspective, 65 per cent describe themselves as "financially unstable" while nearly half of the students polled were unable to cover essentials like food and housing.

From a parents perspective , 94 per cent of parents of post-secondary students provide financial support, with 58 per cent offering significant assistance.

The survey also showed that parents recognized their children’s financial habits can improve, as notably: one in five students are turning to unproven sources like Tik Tok and Instagram for financial advice, pushing a call for more financial literacy training.

“It’s never to early to start,” Jayme Martin, a district vice-president with TD Bank in Ontario. “I’d hate for parents to start thinking, ‘I’m having this conversation and my son or daughter is just off to post-secondary school and have I missed the boat?’”

Martin says that’s not the case, adding it’s never too late to learn more about your financial situation.

“The importance of financial literacy and especially around spending (is important) and making sure that our children are tracking not only where they spend their money but really reflecting on what their needs and wants are,” said Martin.