Every parent wants to give their child the best education.
But very few parents calculate the cost of not planning for it.
Today, a good graduation may cost ₹10–20 lakhs.
With education inflation over the next 15–20 years, the cost can easily reach ₹50 lakhs or more.
When that time comes, most parents take the easy option — an Education Loan.
But here is the hidden problem.
A ₹50 lakh education loan usually means:
- ₹50,000 – ₹60,000 EMI per month
- 15 years repayment period
- ₹90 lakhs – ₹1 crore total repayment
This means your child starts their career with financial pressure instead of financial freedom.
Instead of building wealth, they start life by repaying debt.
But there is a smarter option.
If parents start planning early and invest just ₹10,000 – ₹12,000 per month, they can build a ₹50 lakh education corpus in 15–20 years.
Parents invest around ₹20–25 lakhs, and the child graduates debt-free.
Now here is the most important point.
If the child was not paying a ₹50,000 EMI and instead invested that amount every month, that money could grow to nearly:
₹2.5 Crores
Yes.
By not planning education early, we are not just giving our children a loan.
We are potentially taking away ₹2.5 crores of wealth creation.
In simple terms:
Not planning for education can make our children poorer by ₹2.5 crores.
Education is not an expense.
It is an investment in your child’s future.
Plan early.
Give your child a debt-free start in life.
—
R. Vikram Singh
Retirement & Financial Planning Specialist