The amount you need to save depends on various factors, such as the type of education (domestic or international), inflation, and how long you have before your child enters college. Using an education cost calculator can help estimate the future cost and create a plan accordingly.

The earlier you start, the better. Starting as soon as possible allows your investments more time to grow, and compound interest can significantly increase your savings over time, reducing the financial burden as your child approaches higher education.

Popular investment options include child education plans, mutual funds, Public Provident Fund (PPF), Sukanya Samriddhi Yojana (for girls), and Unit Linked Insurance Plans (ULIPs). Mutual funds, especially through SIPs, offer the potential for higher returns over the long term.

Education costs tend to rise at a rate higher than standard inflation. When planning, consider an inflation rate of 8-10% to ensure that your savings grow in line with rising education costs. Mutual funds or equity-linked plans can help outpace inflation.

It's always advisable to save in advance to reduce dependency on loans. Loans come with an interest burden, while savings can provide more flexibility. However, education loans can still be a good option if savings fall short.