[Ordinary People's Financial Report] Private Education Expenses for Children Reach 700,000 Won...Significantly Increasing Mainly in Gangnam 3 Districts

Shinhan Bank 'Report on Ordinary People's Financial Life'

[Asia Economy Reporter Kwangho Lee] It has been revealed that the monthly average education expenses for children in high school or below have approached 700,000 KRW. In particular, private education expenses have significantly increased, especially in the Gangnam 3 districts of Seoul.

According to the 'Ordinary People's Financial Life Report 2021' released by Shinhan Bank on the 20th, last year, the average monthly education expenses per household for children were 690,000 KRW, an increase of 10,000 KRW compared to the previous year.

Despite the average monthly household income decreasing from 5.84 million KRW in 2019 to 5.74 million KRW last year, education expenses slightly increased, raising the proportion of education expenses in total income from 11.6% to 12.0%.

Specifically, public education expenses have continuously decreased, while private education expenses have increased. Public education expenses declined from 220,000 KRW in 2018 to 190,000 KRW in 2019 and 170,000 KRW last year.

During the same period, private education expenses rose from 450,000 KRW to 490,000 KRW and then to 520,000 KRW.

By age group, private education expenses for middle and high school students were four times higher than those for preschool children.

Last year, based on the metropolitan area, private education expenses for middle and high school students averaged 760,000 KRW per month.

In contrast, elementary school students spent 550,000 KRW, and preschool children spent 190,000 KRW. However, except for elementary school students, private education expenses for preschool and middle/high school children slightly decreased compared to the previous year.

Shinhan Bank analyzed this as "an effect of COVID-19, such as restrictions on academy gatherings."

This content was produced with the assistance of AI translation services.