How to save for your child’s education? Here are 5 tips for parents

financialexpress.com:

A good education is essential for a child’s development and future success. Providing their child with the best education is a goal most parents cherish and work towards. However, as education costs continue to spike, it is becoming increasingly challenging for parents to fund this goal, which has consistently been among the top aspirations held by Indians in the BankBazaar Aspiration Index 2022.

Education inflation, which is the rise in education costs over time, is happening at twice the rate of cost inflation. A recent BankBazaar report ‘Inflation, Education, & Your Child’ details key factors about the education inflation, which currently hovers around 11% to 13%, and if current trends continue, could double every six to seven years.

Considering all of the above, the task of saving up for your child’s education may seem daunting. Which is why, it is imperative for parents to factor in all relevant factors, such as education inflation, when planning investments to fulfil this goal. Let’s take a look at some important tips which can help parents in their efforts to achieve this goal.

When planning investments for your child’s education, make sure to consider some important factors such as the type of education you child may want to pursue, how much it is likely to cost, inflation, and the time you have to raise said funds. All this will help you in creating an investment strategy that is closely aligned with your goals.

Also Read: Financial planning for children’s needs: Should you invest in a child plan or mutual funds?

When it comes to investing, the earlier you start, the better. By investing early, you can derive the maximum benefit of compounding in growing your wealth. If you invest regularly, regardless of the