Child Education Plan Calculator India — College Fund Target 2026

Last updated: 29 April 2026 Reviewed by Deepa Krishnan, CFP

**Child education costs** are rising at 10–12% per year in India — far faster than general inflation. An engineering degree costing ₹10 lakh today will cost ₹26 lakh in 10 years. An MBA from a top institute costing ₹25 lakh today will cost ₹65 lakh in 10 years. This calculator tells you the monthly investment needed to be ready when your child needs the funds.

Current Cost of Education (₹) Today's cost of target college/course

Child's Current Age (Years)

Age When Education Begins

Education Inflation Rate (% p.a.) Education costs inflate 10–12% p.a. in India

Expected Investment Return (% p.a.)

Future Education Cost —

Monthly SIP Needed —

Years to Save —

Lumpsum Needed Today (Alternative) —

View Year-by-Year Breakdown

Real-World Examples — 2026

₹20 lakh today's cost, child aged 5

At 10% education inflation for 13 years: future cost = ₹67.7 lakh. Monthly SIP at 12% for 13 years: ₹18,400/month. Or lumpsum today: ₹67.7 lakh / (1.12)^13 = ₹14.6 lakh. Investing ₹14.6 lakh today at 12% solves the problem entirely.

Studying abroad — US MBA

US MBA: current cost $80,000 (₹67 lakh at ₹84/$). At 10% education inflation + 3% dollar appreciation for 15 years: future cost ₹2.8 crore. Monthly SIP at 12%: ₹60,000/month. Start planning at birth for overseas education goals.

Frequently Asked Questions

How much does a college education cost in India in 2026?

IIT B.Tech (4 years): ₹8–12 lakh total. Private engineering: ₹8–20 lakh. MBBS private: ₹40–80 lakh (or NRI quota ₹80 lakh+). MBA at top IIM: ₹25–30 lakh. Study abroad (US, UK): ₹60 lakh–₹1.5 crore. Education costs in India inflate at 10–12% p.a.

Which are the best investment options for child education?

SSY (if girl child, tax-free 8.2%, but locks till age 21). ELSS mutual funds (12–15% potential return, 3-year lock-in, 80C). PPF (7.1%, safe, 15-year tenure). Equity MF SIP (best growth, needed for long-term education goals). Sukanya Samriddhi works well for daughters; ELSS SIP best for sons.

Should I use an education loan instead of savings?

Education loans are available at 8–15% p.a. For a career with good starting salary (IIT/IIM graduates), a loan is manageable. But for uncertain career paths or courses without guaranteed ROI, loan can become a burden. Ideally, save for 50–70% and take loan for balance to maintain financial flexibility.

Is this calculator free?

Yes, completely free on CalcPhi.

Are my inputs stored?

No. Calculations run in your browser.

Is it mobile-friendly?

Yes. Works on all modern smartphones.