How Deepak can save Rs 1 crore for his daughter's education

Deepak, a 32-year-old IT professional, seems to have a picture-perfect life. He earns a handsome salary of Rs 2 lakh per month, lives in his own house, drives a good car and enjoys spending time with his family, which includes his parents, wife and a three-year-old daughter.

However, behind this rosy picture lies a struggle that only a few are aware of.

The hidden burden

As the sole breadwinner, Deepak feels the weight of responsibilities. Monthly EMIs for a home loan, car loan and a personal loan borrowed for a health emergency, eat up a big slice of his income. Then come his daughter’s playschool fees, household expenses and the usual outflows, meaning his salary often feels spent the moment it arrives.

While he’s managing the present — including school fees — the thought of his daughter’s higher education makes him anxious.

The wake-up call

The turning point came during a casual conversation with a friend who works as an education consultant.

“If you’re aiming for a good college and postgrad for your daughter,” Deepak’s friend said, “you’re looking at something close to Rs 1 crore these days.”

“A crore? I thought maybe half of that!” Deepak exclaimed.

“I wish I were joking. Fees, inflation, living costs — it all adds up.”

That night, Deepak couldn’t sleep. Rs 1 crore? And that too in the next 15 years? Could he save that much?

Turning anxiety into action

Keen to find a solution, Deepak quickly started looking for tools and resources that could help him plan for his daughter’s higher education. He was familiar with SIPs (systematic investment plans) that enable you to build wealth gradually. But how much would he need to invest every month? Deepak didn’t want to make a wild guess.

Very soon, Deepak stumbled upon Value Research’s Goal Calculator. Using this tool, he could easily calculate how much he needed to invest every month over the next 15 years, with different expected rates of return to meet the seemingly impossible Rs 1 crore goal for his daughter’s higher education.

Here’s what he found:

Reality check

Deepak stared at the numbers, sighing. That evening, he shared his findings with his wife.

“That seems like a lot,” she said, looking concerned. “Where do we begin?”

“We’ll start with what we can manage now,” Deepak replied. “If we cut back on unnecessary expenses and gradually increase the SIP, we can get there.”

Deepak and his wife listed down their expenses and realised there were areas they could cut back on: Rarely used subscriptions, weekly takeout orders and impulse shopping. Even their planned international vacation could be swapped for something simpler.

Soon, the Rs 1 crore goal didn’t seem that difficult to achieve. Even if he didn’t step up his SIP every year, Deepak could still manage to reach the goal well in time.

A plan takes shape

The following week, Deepak took action. He chose two diversified equity funds (flexi-cap and a multi-cap fund) and set up an SIP of Rs 25,000 per month.

Most importantly, Deepak shifted his mindset. He realised that starting now, even if with a smaller amount, would help him benefit from the magic of compounding over the years.

The final word

Deepak’s story is not unique. Many families feel financially stretched despite good incomes. But what sets Deepak apart is that he chose to face the challenge head-on. Instead of letting anxiety rule, he turned to planning tools and took action — a valuable lesson for any parent worried about their child’s future.

As Deepak watched his daughter play that evening, she looked up and giggled, “Papa, will you buy me a big pink school bag when I go to big school?”

Deepak smiled. “Of course, beta.”

The journey won’t be easy, but with a plan in place, the future definitely looks brighter.

Do you also have a financial goal in mind but don’t know where to start? Use the Value Research Goal Calculator and find out how much you need to save every month to turn your dreams into reality!

Also read: How SIPs helped this dancer fund his dreams in Florence

This article was originally published on July 01, 2025.