Indian households are dedicating a larger share of their expenses toward education, especially private coaching and private school fees, reflecting parents’ strong desire to improve learning outcomes despite rising costs.
- Almost 40% of secondary students receive private coaching.
- Private school costs are about 10 times higher than government schools.
- Families spend up to 10% of monthly budgets on education-related expenses.
What happened
The Comprehensive Modular Survey on Education 2025 reveals that Indian families are increasingly turning to private coaching and private schools to enhance their children’s education. Nearly two in five secondary school students are enrolled in coaching classes, a significant rise compared to primary school levels. Private school enrollment stands at 38%, with costs per student vastly exceeding those in government schools.
This shift has led to families allocating between 5% and 10% of their monthly spending to education and associated costs. Urban households tend to spend more than rural ones, especially in elementary and secondary education. The increase in private coaching and schooling is driven by parents’ concerns about quality and learning outcomes.
Why it feels good
Parents are motivated by a desire to provide their children with better educational opportunities that can open doors to greater future success. Investing in private coaching and schools is seen as a way to secure higher quality learning and competitive advantages in academics and beyond.
Even though the costs are high, many families view this spending as worthwhile. It reflects their commitment to education and their hope for upward social mobility, helping children stand out and succeed in an increasingly demanding academic environment.
What to enjoy or watch next
Observers and policymakers can follow how this trend shapes the educational ecosystem in India, particularly whether the rise in private spending influences improvements in government school quality or leads to further disparities. Monitoring changes in regulation around pre-primary education and private coaching might also provide insights into cost controls and access equality.
For families and educators, it will be important to watch innovations that make quality education more affordable and accessible, such as blended learning or government initiatives. Awareness of hidden costs and opportunity costs, such as caregiving sacrifices by family members, can foster more supportive policies and community solutions.