Let's plan the SIP for ₹50 Lakh Higher Education in 15 years.
Education inflation is a monster! What costs ₹50 Lakh today will likely be ₹1.38 Crore in 15 years, assuming 7% annual inflation. Don't underestimate this.
To reach ₹1.38 Crore in 15 years (at 12% returns from equity), you'd need a monthly SIP of ~₹27,500 - ₹28,000. Start early for compounding power!
Start with a lower SIP (e.g., ₹15,000) and increase it by 10% annually with your salary hikes. This makes the initial commitment manageable and leverages future income.
For 15+ years, diversified equity mutual funds (Flexi-cap, Large-cap) are your best bet to beat inflation. Gradually shift to debt funds as the goal nears to protect corpus.
Ignoring inflation, starting late, being overly conservative (FDs only), and mixing goals are common pitfalls. Dedicate a SIP for each major life goal for clarity.
Ready to secure their dreams? Use a Goal SIP Calculator now! Remember to account for education inflation for a realistic plan. Link: sipplancalculator.in