Parents wanting a good education for their children are being hit hard in the pocket.

A new study by ASG (Australian Scholarships Group) shows putting a child born this year through state school in New Zealand is likely to cost more than $37,000.

That shoots up to more than $326,000 for a private school education.

ASG chief executive John Velegrinis said this is clear evidence increasing cost of education is putting a strain on the family budget.

"With a private schooling journey, you know three children would mean that you'd be talking almost a million dollars which in many parts of the country would be well above the cost of a family home."

Mr Velegrinis said many families are struggling with the rising costs.

"Over the last ten years we've seen the cost of education's been rising at one and a half times the cost of general inflation, so when you've got costs that are rising at that rate and certainly faster than wage growth then that's causing a real impost on family budget."