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Goal guide

How much to save for a child’s education?

The number that shocks most parents is not today’s college fee — it is what that fee becomes after 15 years of education inflation, which in India runs around 8–10% a year, faster than general inflation.

What today’s ₹20 lakh becomes

Years to collegeFuture cost (at 10%)
5 years≈ ₹32 lakh
10 years≈ ₹52 lakh
15 years≈ ₹84 lakh
18 years≈ ₹1.1 crore

The monthly SIP to get there

To reach that ₹84 lakh in 15 years, a SIP returning 12% needs about ₹16,500 a month. Start when the child is born (18 years) and a ₹1.1 crore goal needs a similar amount — because the extra years of compounding do the heavy lifting. Wait until they are 8, and the monthly figure roughly doubles.

The plan

Start early, use a mostly-equity SIP for the long runway, protect the goal with term insurance on the earning parent, and shift the corpus into safer FDs/debt in the final 2–3 years so a market dip cannot derail admission.

Plan your child’s goal

Enter today’s cost and see the future amount + monthly SIP.

Goal Planner →SIP Calculator →

Frequently asked

Why not just save in an FD or PPF?
Education inflation (~8–10%) often outpaces FD and PPF returns, so a purely fixed-income plan can fall short. For a 10+ year goal, a mostly-equity SIP has historically beaten education inflation; shift to safer options in the last 2–3 years.
When should I start?
The day the child is born, if you can. Starting at birth versus at age 8 can roughly halve the monthly amount needed, because compounding has far longer to work.
How do I protect the goal?
Buy adequate term insurance on the earning parent so the goal is funded even if something happens to you, and de-risk the corpus into debt/FDs as the admission date nears.

Illustrative figures at 10% education inflation and 12% SIP returns; actual figures vary. Estimates for planning, not financial advice.