“As of April 2025, India’s education inflation rate is 4.13%, up from 3.98% in March 2025 (resource)”. While the overall inflation rate stands at 3.16%, the lowest since July 2019 (resource).” This data demonstrates that education costs are rising despite a general decline in inflation, making it increasingly challenging for parents to secure admission to reputable boarding schools without proper financial preparation.
But do you know what the sadder part is?
As per a report by IIP Series, “Approximately 35% of India’s population is financially literate, indicating that 65% lack essential financial knowledge.”
This lack of financial understanding can hinder their children’s access to quality education and opportunities in top boarding and day boarding schools. But no more worries! This blog is a financial planning guide on what Indian parents should consider before investing in a boarding school for their child’s future.
Table of Contents
- Financial Planning: A Guide To Consider Before Sending Your Kid Into A Boarding School
- The Takeaway
- Frequently Asked Questions
- How much does boarding school cost in India?
- How can parents compare boarding school fees in India?
- Is boarding school a good long-term investment for a child’s education?
- How do Indian parents plan financially for boarding school education?
- Do boarding schools offer scholarships or financial aid?
- Can I get an education loan for sending my child to a boarding school?
Financial Planning: A Guide To Consider Before Sending Your Kid Into A Boarding School
Evaluates the Family’s Current Financial Condition
To send a kid to a boarding school, parents should initiate a plan by first evaluating their financial status. This is basically to determine the following:
- If they can get their child’s admission into a boarding school that they have shortlisted.
- Will they be able to pay the annual fees on time?
- To shortlist top boarding schools or affordable ones that fall under their pay range.
To evaluate it, parents must review the family’s fixed expenses, check for any pending loans or EMIs, and determine whether they will be able to pay the boarding school fee smoothly in the future.
Understanding Long-Term Commitment
Parents might be ready to invest for today, but is that enough? It is essential to understand that budgeting for boarding school in India is a long-term investment. This would require 7-9 years of recurring costs if you send your child to boarding school at an initial age of five to seven. Hence, you must have a minimum of 10 years of financial planning to cover boarding school fees, considering future fee hikes, changes in family income, or unexpected emergencies.
Pre-Planned Education Investment
Pre-planned education investment to cover education costs in India is one of the most innovative ways to start early and secure your kid’s academic development. These plans may include investing in Systematic Investment Plans (SIPs), mutual funds, fixed deposits (FDs), and other potential investment options.
Selecting the Right Investment Options:
Most first-time parents face the challenge of selecting the ideal investment option for their child’s academic future. Hence, the following are some popular investment options they can opt for:
- Mutual funds,
- Public Provident Fund (PPF),
- Child plans,
- Unit Linked Insurance Plans (ULIPs),
- Sukanya Samridhi Yojana,
- Education savings account.
Nevertheless, most parents use a mix of these resources to diversify the liquidity flow.
Checking for Scholarships & Financial Aid
Most boarding schools offer scholarships & financial aid, adding a little comfort for the parents to pay the boarding school fees. Scholarships and financial aid are awarded based on merit and the unique needs of individual students. Hence, many parents often inquire about scholarship opportunities during admission counseling or consult with admission experts from recognized platforms, such as Boarding Schools of India.
Considering Education Loans
An education loan helps parents fund their educational expenses by lending money from a bank. However, the money is to be paid back to the bank in EMIs with a certain interest amount that differs from bank to bank.
Balancing Between Quality and Affordability
While picking a boarding school for kids, parents must ensure quality and affordability simultaneously. So if parents are unable to find an affluent boarding school within their budget, they can go for mid-range or budget schools. You can find a list of the top premium, min-range, and budget boarding schools on Boarding School of India.
The Takeaway
Beyond academic achievement, boarding school education can help your child develop their personality, independence, and global readiness. To offer your kid a quality education and nurturing environment, the boarding school cost should not be an obstacle between them and their future.
However, no education is worth jeopardizing your family’s financial security, regardless of how prestigious the institution is. You can accomplish this dream debt-free and stress-free with careful financial planning, wise investments, and knowledge of scholarships and loans. We understand, Indian school fees are touching the skies, but our experts at are here to help you with budget-friendly recommendations. Let’s begin today, because the best educational plan is the one you can confidently afford, not just emotionally fantasize about. Get in touch with the Boarding Schools of India now!
Explore more Blogs: https://blog.boardingschoolsofindia.com/
Frequently Asked Questions
How can parents compare boarding school fees in India?
Parents can check out reliable boarding school listing websites to compare boarding school fees in India. One of the best such platforms is Boarding Schools of India, which allows parents to easily compare the top Indian boarding schools based on type of board, fees, academia, facilities, opportunities, and other criteria.
Is boarding school a good long-term investment for a child’s education?
Indeed, boarding school is worth investing in in not just for a child’s education but also to secure their career. Top boarding schools in India provide a unique environment for the kids and nurture their thought process and overall personality.
How do Indian parents plan financially for boarding school education?
Parents must carefully plan their finances to afford sending their child to a boarding school. They can have separate savings as a future investment that they can utilize while admitting their child to a boarding school. Moreover, they can explore potential funding options like scholarships and education loans.
Do boarding schools offer scholarships or financial aid?
Yes! Multiple boarding schools in India offer scholarships or financial aid that allow students to afford their overall expenses in a boarding school, including tuition fees.
Can I get an education loan for sending my child to a boarding school?
Yes, you can easily avail education loan only if you fulfill the compliance standards and meet the requirements of having an education loan.