Navigating Education Inflation & Career Planning With Aditya Agarwala

In the latest episode of the Simple Hai! show, Agarwala shared his journey from the stock market to education planning, highlighting how most parents underestimate the steep rise in education costs until it is too late. Speaking to senior finance journalist Vivek Law, he explained why early financial planning and career counselling are crucial to securing children's futures.

From Market Analyst To Education Planner

When Law asked about his career transition, Agarwala revealed that although he had worked in the equity markets since 2007, it was not his true calling. During the COVID-19 lockdown, he and his co-founders reflected on their purpose. They realised their financial expertise could be used to build a platform that guides parents in planning both education expenses and career choices for their children.

Agarwala pointed out the frequent mismatch between what people study and the careers they eventually pursue, stressing the importance of early counselling and structured planning to prevent such misalignments.

Advice For Young Investors

Law noted the surge of young investors during the pandemic, many drawn to speculative trading in derivatives. He asked Agarwala what advice he had for this group. Agarwala cautioned against speculation, urging young investors to focus on fundamentals and disciplined investing. Derivatives should be used for hedging, not speculation, he said, adding that mutual funds are a better option for those without the time or expertise to study markets.

The Harsh Reality Of Education Inflation

A key part of the discussion centred on what Agarwala termed "education inflation." He explained that while general inflation hovers around 3–5%, education costs rise at 8–12% annually. "That means your child's education cost can double in just 6–7 years," he added.

Agarwala shared that planning must go beyond costs, focusing equally on children's aptitude, interests, and aspirations. He noted that more parents are choosing international boards such as IB (International Baccalaureate) to prepare their children for overseas education, with many now aiming to send students abroad right after 12th grade instead of only for postgraduate studies.

Shifts In Education Trends and Boards

Law highlighted the rising trend of undergraduate studies abroad and asked about changing preferences. Agarwala confirmed that while postgraduate education still dominates, there is significant growth in undergraduates leaving India, especially from Tier 1 cities. He explained this shift was often tied to aspirations of employment and citizenship overseas.

On the choice of boards, Agarwala said the IB board is preferred by global universities due to its practical orientation and early specialisation. However, he clarified that Indian boards remain strong and present no disadvantage for students applying abroad, while also being well-suited for higher education within India.

Career Counselling and New Career Paths

When Law asked about changing career choices, Agarwala shared how invest4Edu uses psychometric testing and counselling to help children identify future-proof careers. He spoke about emerging options in digital marketing, sports, music, and content creation, which now have societal acceptance and earning potential.

He acknowledged that some parents struggle to let go of fixed career expectations, but stressed the importance of dialogue. His team conducts workshops to encourage parents to align with their children's interests rather than impose their own aspirations.

Financial Planning and Education Loans

The discussion then turned to how parents can afford soaring education costs. Agarwala underlined the power of compounding and advised beginning investments early, with a mix of equity, debt, mutual funds, EPF, and gold.

Then, Law asked about education loans and how much was safe to borrow. Agarwala recommended not exceeding 40% of the total education cost, ideally keeping it at 30%. He warned that students taking loans of 80–100% often face "severe financial stress and even mental health issues." He said, parents must realistically assess their finances before making commitments, sometimes compromising either on destination or investment amounts.

AI and Technology in Education Planning

Finally, Law asked how technology fits into Agarwala’s platform. He explained that AI allows them to expand into Tier 2, Tier 3, and Tier 4 cities, which are often underserved. Their tools include an AI-powered education journey planner and "Edu AI," a chatbot that provides answers in multiple languages.

He highlighted that AI enables deep personalisation, from suggesting career paths and study destinations to supporting test preparation and applications. "We can now provide parents with a granular, end-to-end plan from schooling to postgraduate studies," he said.

The conversation between Law and Agarwala shed light on a rarely discussed but critical issue: the impact of education inflation on families.

The episode highlighted the sharp rise in education costs, the importance of early planning, evolving career trends, and the growing role of AI in democratising access to career and education guidance.

For parents, students, and young investors alike, the discussion offered practical insights into navigating the future with financial discipline, realistic expectations, and openness to new opportunities.