Archive · 2 Oct 2025
Financial Strategy for Education Funding: A 10-Year SIP
Imagine you want to save for your child's education.
A financial expert suggests using a 'step-up SIP'.
You start by investing a set amount each month and increase it yearly for 10 years.
After that, you stop investing fresh money.
You withdraw a certain amount monthly to pay for your child's school.
The expert believes this plan, when done right, will provide funds without a loan.
Education costs are rising faster than general inflation.
A step-up SIP involves increasing contributions annually.
Start with a ₹10,000 monthly SIP.
Withdraw ₹25,000 per month from age 10 to 22.
The strategy aims to fund education without loans.
- Who
- CA Nitin Kaushik
- What
- Shared a step-up SIP strategy for education funding
- When
- Applicable until the child is 22 years old.
- Where
- N/A
- Why
- To fund education and avoid loans.
- Financial Planner
- CA Nitin Kaushik
- SIP Start
- ₹10,000/month
- SIP Increase
- 10% annually
- SIP Duration
- 10 years
- Withdrawal Period
- Age 10 to 22
- Withdrawal Amount
- ₹25,000/month
- Assumed CAGR
- 12%
