For families with significant wealth, preparing for back-to-school season involves more than just tuition payments and dorm shopping. It’s an opportunity to explore tax-efficient strategies, optimize family wealth across generations, and invest in resources that can enhance the student experience. With tailored planning, high-net-worth individuals (HNWIs) can use this time to strengthen their legacy while equipping their children for lifelong financial success. Here’s how to align back-to-school preparation with your broader wealth management goals.

Leverage Tax-Advantaged Education Strategies

Education planning provides HNWIs with unique opportunities to utilize tax-advantaged accounts while efficiently funding their children’s academic pursuits. By contributing to 529 plans, you can accumulate tax-free growth to cover qualified education expenses, including tuition, books, and even room and board. With no federal contribution limit, gifting larger sums—up to $19,000 per beneficiary per year without triggering gift taxes (as of 2025)—or lump-sum contributions utilizing the five-year gift-tax averaging rule can maximize growth potential and reduce taxable estates.

Beyond 529 plans, some families set up trusts specifically for education funding. Irrevocable education trusts can provide substantial flexibility, as they secure assets for future academic expenses while offering control over how and when funds are used. Discuss trust design options with your estate planning attorney to ensure these tools align with your financial goals and family dynamics.

Make Education Part of Your Legacy

For many affluent families, education is a core value they wish to pass down through generations. Back-to-school season can be an excellent time to have intentional conversations with your children about the privileges and responsibilities that come with wealth. Use this opportunity to discuss financial stewardship, the importance of earning and saving, and long-term goal setting.

Family meetings can be a platform to outline major financial goals, like funding grandchildren’s education or creating family scholarships. Some HNWIs have even established philanthropic endowments or private foundations dedicated to education, offering their children a way to contribute to the family’s lasting legacy.

Invest in Premium Services for College Preparation

Affluent families often have access to resources that can simplify the college preparation process or elevate the overall experience. Consider investing in private educational consultants who specialize in managing every aspect of college admissions, from application essays to interview prep. These experts can save substantial time while strategically guiding students toward top-tier institutions.

For younger students, engaging with enrichment programs that offer global exposure, leadership training, or skill enhancement (e.g., entrepreneurship workshops or coding bootcamps) can give them a competitive edge. These bespoke services not only offer tangible value on college applications but also align with long-term family objectives, such as fostering independence and curiosity.

Tie Educational Planning to Broader Investment Goals

With rising higher education costs, it’s worth exploring ways to integrate tuition payments and other expenses into your broader investment strategy. For example, if your child is interested in studying overseas, consider opportunities for purchasing property in the region. This investment could serve as housing during their studies while diversifying your portfolio.

Additionally, starting your children on their own investing path through custodial accounts or Roth IRAs (if they have earned income) can teach them valuable lessons about compounding growth. For parents who aim to nurture the next generation of investors, educating them on other financial fundamentals—like understanding dividends or selecting index funds—can set them up for success.

Secure the Right Insurance and Healthcare Coverage

Managing risk is a key concern for affluent families, and education expenses are no exception. Back-to-school season provides a good reason to review your insurance portfolio. Beyond ensuring your child has health insurance coverage (which could come through your family plan or a student health plan), consider other forms of financial protection like tuition insurance. This lesser-known option can reimburse unused fees if a child needs to withdraw unexpectedly due to illness or personal emergencies.

Additionally, for students moving into off-campus housing, securing renters insurance to protect valuable belongings—like electronics, jewelry, or luxury goods—is often recommended. Walk through these options with your insurance advisor to ensure adequate coverage for all contingencies.

Plan Now, Benefit for Generations

Back-to-school preparation for HNWIs is a holistic endeavor, touching on everything from tax efficiency to legacy building. With proactive planning, it’s possible to protect your wealth, pass on values, and create lifelong opportunities for your children. By addressing these unique considerations and leveraging the expertise of your financial advisor, attorney, and wealth planner, you can approach the season with confidence—and make education a meaningful part of your family’s legacy.

Education isn’t just an expense; it’s an investment in the next generation. By preparing strategically, you ensure that your wealth works not just for you, but for the bright futures of those who matter most.