How to plan financially for children’s education in India and abroad ?

A quality education is a stepping stone to a successful future, but it comes with high costs. Whether in India or overseas, tuition fees, accommodation, and travel expenses can be significant. Strategic financial planning ensures you are prepared well in advance.

Estimate Costs Early

Start by researching education costs in different countries. For example, a master’s degree in Canada can cost around ₹20–₹30 lakh per year, while a similar course in the UK might exceed ₹40 lakh. Factor in inflation, exchange rates, and living expenses when estimating the total cost.

Choose the Right Savings Plan

Begin investing early to maximize returns. Fixed deposits provide safety, while mutual funds and equities can generate higher returns over time. For instance, if you invest ₹5,000 monthly in a mutual fund with an 12% annual return, you could accumulate over ₹50 lakh in 15 years—enough to fund an international education.

Explore Scholarships & Loans

Scholarships can significantly lower costs. Many universities offer merit-based aid, while Indian banks provide education loans with competitive interest rates. For example, SBI’s Global Ed-Vantage loan covers foreign education expenses with repayment flexibility.

Plan for Pre-Departure Expenses

Visa fees, travel costs, insurance, and documentation add to the financial burden. A student visa for the US costs around ₹15,000, and airfare can range from ₹50,000 to ₹1 lakh. Budgeting for these ensures no last-minute surprises.

With careful planning and the right financial strategies, you can secure your child’s future education without unnecessary stress.