This study was to analyze the effect of private education expenditures on financial performance. The data from 1,669 households were taken from the Korean labor and Income Panel Study. The major findings were as follows: (1) The mean of monthly private education expenditure was 257,400 won for all households. Almost 66% of households encountered an economic burden in paying for private education. (2) The mean of financial performance in all households was 31,420,000 won and those with higher assets showed the greatest financial performance (112.8 million won net gain). (3) The variables that significantly influenced on private education expenditures and the financial performance were different in all households. (4) The relationship between financial performance and private education expenditures was verified partially. The association was proved in the middle assets group.