Financial planning strategies for education and retirement

A financial planning analysis addresses the challenges of balancing education expenses and housing costs with insufficient retirement savings. For a household facing upcoming university tuition for a second child, recommendations include maintaining a liquid reserve of approximately 3 million yen for living expenses and considering public scholarships from the Japan Student Services Organization (JASSO) if unexpected costs arise.

Regarding debt management, the analysis suggests prioritizing cash reserves over early mortgage repayment, especially when dealing with fixed interest rates. To bolster retirement funds, it is advised that individuals continue working after age 65 to increase pension contributions and mitigate risks associated with future long-term care costs.