Bhagat was raised in a traditional Punjabi Hindu family. His father was a lieutenant colonel in the Indian Army, and his mother worked as a scientist at the Indian Agricultural Research Institute in New Delhi. Bhagat attended the Army Public School, Dhaula Kuan,[3] where he developed an interest in writing and contributed jokes to the school magazine.[4]
In 1995, Bhagat graduated with a Bachelors of Technology degree in Mechanical Engineering from the Indian Institute of Technology, Delhi.[5] He then attended the IIM Ahmedabad (IIMA), receiving a degree in Business Administration with a specialization in marketing in 1997.[6][7] In 2018, IIMA awarded him the Young Alumni Achiever's Award in the Arts & Entertainment category.[8]