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Goal Planning
Education costs are rising faster than general inflation. A degree that costs ₹10 lakh today could cost ₹25 lakh in 15 years. Planning early is not just advisable — it's essential to ensure your child's future isn't compromised.
How much will education cost?
Here's a rough estimate for different education stages (in today's terms, adjusted for 8% inflation):
- School education (K‑12): ₹15‑25 lakh
- Undergraduate (India): ₹20‑40 lakh
- Undergraduate (abroad): ₹50 lakh – ₹1.5 crore
- Postgraduate (India): ₹15‑30 lakh
- Postgraduate (abroad): ₹40 lakh – ₹1 crore
Step‑by‑step plan
- Step 1: Estimate the future cost using an inflation calculator.
- Step 2: Choose the right investment vehicle — mix of equity (for long‑term growth) and debt (for capital protection as the goal nears).
- Step 3: Start a dedicated SIP for your child's education — separate from your retirement portfolio.
- Step 4: Review the plan every year and re‑balance as needed.
- Step 5: As the goal approaches (3‑5 years out), shift to safer instruments to protect the corpus.
Why start early?
Starting early gives you the power of compounding. A ₹5,000 monthly SIP at 12% returns becomes ₹35 lakh in 15 years. If you start 5 years later, it becomes just ₹18 lakh — a difference of ₹17 lakh.
At RION, we build customised education plans that align with your child's age and your financial capacity. We help you stay on track, so you never have to compromise on your child's dreams.