Higher Education SIP Calculator

Plan and save for your child's college and professional education expenses. Build a substantial corpus to fund undergraduate, postgraduate, or international education without financial burden.

Higher Education

Long-term Investment

Goal-based SIP

18+ Year Planning

Select Financial Goal

Save for undergraduate and postgraduate education expenses

Goal Amount (Today's Value)

₹

₹1L₹2Cr

Current Savings for this Goal

₹

₹0₹15.00 L

Investment Period

years

1 year50 years

Expected Annual Return

5%20%

Consider Inflation

2%15%

Today's Value:₹15.00 L

Future Value:₹47.58 L

Required Monthly SIP

₹0

Goal may not be achieved with current settings

Higher Education (College)

Risk Profile: moderate

Total Invested

₹0

Estimated Returns

₹0

Maturity Amount

₹0

Consider increasing SIP or investment period

Goal vs Achievement

Target Amount₹47.58 L

Expected Amount₹0

Surplus/Deficit₹-47,58,254

Goal Achievement Chart

Track your progress towards your goal

Goal Amount

₹1,94,59,711

Today's value: ₹35,00,000

Maturity Amount

₹35,00,000

Below target

Achievement Timeline

Not achievable

With current plan

Investment Growth Over Time

Invested

Value

Goal

Year 0

₹0K

Year 2

₹2.1L

Year 4

₹4.8L

Year 6

₹8.2L

Year 8

₹12.4L

Year 10

₹17.7L

Year 12

₹24.3L

Year 14

₹32.7L

Year 16

₹43.1L

Year 18

₹56.2L

Key Insights

Total Returns:₹18,80,000

Return Percentage:116.0%

Monthly SIP:₹7,500

Investment Period:18 years

Year-wise SIP Breakdown

Detailed annual progress of your SIP investment journey

Year

Monthly SIP

Annual Investment

Cumulative Investment

Portfolio Value

Annual Returns

Total Returns

2025

₹7,500

₹90,000

₹95,400

+₹5,400

₹5,400

2026

₹7,500

₹90,000

₹1,80,000

₹2,02,248

+₹16,848

₹22,248

2027

₹7,500

₹90,000

₹2,70,000

₹3,21,918

+₹29,670

₹51,918

2028

₹7,500

₹90,000

₹3,60,000

₹4,55,948

+₹44,030

₹95,948

2029

₹7,500

₹90,000

₹4,50,000

₹6,06,062

+₹60,114

₹1,56,062

2030

₹7,500

₹90,000

₹5,40,000

₹7,74,189

+₹78,127

₹2,34,189

2031

₹7,500

₹90,000

₹6,30,000

₹9,62,492

+₹98,303

₹3,32,492

2032

₹7,500

₹90,000

₹7,20,000

₹11,73,391

+₹1,20,899

₹4,53,391

2033

₹7,500

₹90,000

₹8,10,000

₹14,09,598

+₹1,46,207

₹5,99,598

2034

₹7,500

₹90,000

₹9,00,000

₹16,74,149

+₹1,74,551

₹7,74,149

Financial Milestones

Track your journey to key financial goals

₹1 Lakh

Year 2

₹5 Lakh

Year 5

₹10 Lakh

Year 8

₹25 Lakh

Year 13

Progress Summary

5 out of 6 milestones achieved in 18 years

Investment Performance

Key metrics of your SIP investment

Expected Annual Return

12%

Compounded annually

Wealth Multiplier

2.2x

Your money grows by this factor

Returns vs Investment

116%

Returns as % of total investment

Higher Education Planning Formulas

Formulas to estimate future higher education costs and calculate required savings.

Future Higher Education Cost

Calculate the future value of higher education expenses considering inflation.

Future Cost = Present Cost × (1 + Inflation Rate)^Years

Example:

Current annual cost of ₹5,00,000 with 7% inflation for 10 years

5,00,000 × (1 + 0.07)^10

= ₹9,83,575

Variables:

Present Cost - Current annual higher education cost

Inflation Rate - Expected annual higher education inflation rate (as decimal)

Years - Number of years until higher education begins

Required Monthly SIP

Calculate the monthly SIP needed to accumulate the future higher education cost.

SIP = Future Cost / [((1 + r)^n - 1) / r] × (1 + r)

Example:

To accumulate ₹9,83,575 in 10 years with 12% annual return

9,83,575 / [((1 + 0.12/12)^(10*12) - 1) / (0.12/12)] × (1 + 0.12/12)

= ₹4,200

Variables:

Future Cost - Target future higher education cost

r - Monthly return rate (Annual rate ÷ 12)

n - Total number of months for investment

These formulas provide the mathematical foundation for the calculations. Actual results may vary based on rounding, compounding frequency, and specific lender policies.

Higher Education Cost Planning

Professional Course Costs

Engineering: ₹15-25 lakhs (4 years)
Medical: ₹50-75 lakhs (5.5 years)
MBA: ₹20-40 lakhs (2 years)
International: ₹75 lakhs - 2 crores

Investment Strategy

Start early for 18+ year time horizon
Higher education inflation: 10-12%
Aggressive equity allocation initially
Consider education loans as backup

Course-wise Planning Strategy

Undergraduate (₹15-30L)

Engineering, Commerce, Arts - Focus on equity funds for growth

Professional (₹30-75L)

Medical, MBA, Law - Balanced portfolio with debt component

International (₹75L+)

Overseas education - Currency hedge and higher corpus needed

Beat Education Inflation

Higher education costs rise 10-12% annually. Professional courses see even higher inflation rates requiring early planning.

Professional Excellence

Fund top-tier professional courses like medicine, engineering, MBA without compromising on quality due to financial constraints.

Career Investment

Higher education is an investment in your child's career. Quality education leads to better opportunities and higher income.

Frequently Asked Questions

Find answers to common questions about goal-based SIP planning and financial planning strategies.

What is goal-based SIP planning?

Goal-based SIP planning involves investing systematically in mutual funds with specific financial objectives in mind. Instead of investing randomly, you define clear goals (like education, marriage, retirement) and calculate the required monthly investment to achieve them within a specific timeframe.

How does inflation affect my financial goals?

Inflation erodes purchasing power over time. What costs ₹1 lakh today might cost ₹2-3 lakhs in 15-20 years. Our calculator includes inflation adjustment to show the realistic future cost of your goals, helping you plan adequately for actual financial needs.

Should I have separate SIPs for different goals?

Yes, it's advisable to have separate SIPs for different goals as they have different time horizons and risk profiles. Short-term goals (1-3 years) need conservative investments, while long-term goals (10+ years) can have higher equity allocation for better returns.

What if I can't invest the calculated SIP amount?

Start with whatever amount you can afford and increase it annually as your income grows. You can also extend the investment period or adjust the goal amount. The key is to start early and invest consistently, even if the amount is smaller initially.

Can I change my SIP amount during the investment period?

Yes, most mutual funds allow you to increase, decrease, or pause SIPs. You can set up step-up SIPs that automatically increase your investment annually. This helps counter inflation and leverage salary increments for faster goal achievement.

What returns should I expect from equity mutual funds?

Historically, equity mutual funds have delivered 12-15% annual returns over 10+ year periods. However, returns can be volatile in short term. For planning purposes, using 10-12% expected returns for long-term goals is reasonable and conservative.

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