Child Education Planning

How Much Corpus Do You Need for Your Child's Higher Education in 2035–2040?

Planning for IIT, Medical, or Abroad education? Calculate the exact corpus you need and start investing today. Education costs are rising at 10% annually—early planning is crucial.

Approx. 10 min read
Education inflation: 10% annually

Education Cost Comparison (2035 vs 2040)

Here's how much you'll need for different education paths, accounting for 10% annual education inflation.

Estimated Costs in 2035

IIT (B.Tech + M.Tech)

2035:

₹71.33L

2040:

₹1.15Cr

Medical (MBBS + PG)

2035:

₹5.71Cr

2040:

₹9.19Cr

Abroad - USA

2035:

₹7.70Cr

2040:

₹12.41Cr

Abroad - UK

2035:

₹5.71Cr

2040:

₹9.19Cr

Abroad - Canada

2035:

₹4.85Cr

2040:

₹7.81Cr

Detailed Cost Breakdown by Education Path

Select an education path and target year to see detailed calculations.

IIT (B.Tech + M.Tech)

Current Cost (2024)

₹25.00L

Estimated Cost (2035)

₹71.33L

Years to Goal

11 years

B.Tech (4 years): Includes tuition, hostel, mess, books, and other expenses

M.Tech (2 years): Post-graduation specialization

Note: Costs vary by IIT. This is an average estimate.

How Much Should You Invest Monthly?

Calculate the monthly SIP required based on your child's current age and target education path.

Monthly SIP Required (12% expected return)

₹9.41K

For ₹71.33L in 18 years

Corpus Growth Over Time

Year-by-Year Investment & Corpus Growth

YearAnnual SIPTotal InvestedCorpus ValueReturns
2024₹1.13L₹0₹0₹0
2026₹1.13L₹2.26L₹2.54L₹27.99K
2028₹1.13L₹4.52L₹5.76L₹1.24L
2030₹1.13L₹6.78L₹9.86L₹3.08L
2032₹1.13L₹9.04L₹15.05L₹6.02L
2034₹1.13L₹11.29L₹21.65L₹10.36L
2036₹1.13L₹13.55L₹30.03L₹16.48L
2038₹1.13L₹15.81L₹40.67L₹24.86L
2040₹1.13L₹18.07L₹54.18L₹36.11L
2042₹1.13L₹20.33L₹71.33L₹51.00L

Key Insights & Planning Tips

Start Early, Invest More

If your child is 0 years old, you need a smaller monthly SIP. If you wait until they're 10, you'll need almost 3x more monthly investment to reach the same corpus. Time is your biggest ally in education planning.

Education Inflation is Real

Education costs rise at 10% annually—faster than general inflation (6%). A ₹25L IIT education today becomes ₹1.5Cr+ in 2035. This is why early planning and regular SIP increases are crucial.

Abroad Education Needs Higher Corpus

USA education costs 4-5x more than IIT. UK and Canada are also significantly higher. Plan for currency fluctuations and add a 15-20% buffer for abroad education.

Use TOP-UP SIP

Increase your SIP by 10-15% annually as your income grows. This helps you reach your goal faster, build a larger corpus, and stay ahead of inflation.

Your Action Plan

1

Calculate Your Exact Requirement

Use our goal calculator to determine the corpus needed based on your child's age and chosen education path. Factor in inflation and add a buffer.

2

Start SIP Immediately

Don't wait for the perfect time. Start with whatever you can afford and increase gradually. Even ₹5,000/month can grow significantly over 15-18 years.

3

Choose the Right Funds

For long-term goals (10+ years), equity mutual funds are ideal. For shorter horizons (5-7 years), use hybrid funds. Avoid debt funds for long-term education goals.

4

Review & Rebalance Annually

Review your portfolio annually, increase SIP with income growth, and rebalance if needed. Track progress toward your goal.

5

Consider Multiple Goals

If planning for multiple children or multiple education levels, create separate SIPs for each goal. This ensures clarity and better tracking.

Important Considerations

Government vs Private Colleges

Government colleges (IITs, AIIMS) have lower fees but are highly competitive. Plan for private college costs as a backup. This ensures you're prepared regardless of admission results.

Scholarships & Financial Aid

While scholarships can reduce costs, don't rely on them for planning. Plan for full costs. If your child gets a scholarship, the extra corpus can fund additional expenses or other goals.

Living Expenses

Education costs include tuition, hostel, mess, books, and other expenses. For abroad education, factor in accommodation, food, health insurance, and travel costs.

Currency Fluctuations

For abroad education, currency exchange rates can significantly impact costs. Add a 15-20% buffer to account for currency fluctuations and unexpected expenses.

How HRP Wealth Helps You Plan

Goal-Based Planning

We help you calculate the exact corpus needed, choose the right funds, and create a systematic investment plan tailored to your child's education goals.

Portfolio Management

Regular portfolio reviews, rebalancing, and guidance on TOP-UP SIP to keep you on track to meet your goals. We monitor your progress and adjust as needed.

Expert Guidance

30+ years of experience helping families achieve their education goals. We understand the nuances of education planning and inflation impact.

AMFI Registered Mutual Fund Distributor (ARN-342284) | 30+ years of experience | Not a SEBI-registered Investment Adviser

Start Planning Your Child's Education Today

Every day you delay costs you more. Start your SIP today and give your child the education they deserve. Early planning is the key to success.

Disclaimer

All figures and projections are illustrative and based on current estimates. Education costs vary significantly by institution, location, and program. Actual costs may differ. Mutual fund investments are subject to market risks. Read all scheme-related documents carefully. Past performance may or may not be sustained in the future and is not a guarantee of returns.

The information here is not investment advice or an offer to buy/sell any investment product. Please assess your risks, consult a qualified professional, and make informed decisions based on your specific circumstances.

HRP WEALTH | 9327141436 | hrpwealth@gmail.com | AMFI Registered Mutual Fund Distributor (ARN-342284) | Not a SEBI-registered Investment Adviser

How Much Corpus Do You Need for Your Child's Higher Education in 2035–2040? (IIT, Medical, Abroad) | HRP Wealth | HRP Wealth