Birbal was born on 14^th November 1891. He was the second son of Lala Ruchi Ram Sahni and Shrimati Ishwar Devi. Then the family was living in Bhera, a small town in Shahapur district (now a part of West Punjab in Pakistan).

Ruchi Ram lost his father in his childhood and suffered much. But he was a brilliant student and won scholarships. He was able to educate himself. He became Professor of Chemistry in the Lahore Government College.

Ruchi Ram Sahni was a patriot and social reformer. He opposed meaningless customs. He was one of the leaders of the Brahma Samaj movement in Punjab. He participated in the freedom movement and was more than once about to be arrested. In 1922, he returned the title ‘Rai Bahadur’ conferred upon him by the British government. As a result the government threatened to stop his pension. His only answer was that he would face all the consequences of his action. His pension was continued.

National leaders like Gopal Krishna Gokhale, Montilal Nehru,V.S. Srinivasa Shastri, Sarojini Naidu and Madan Mohan Malaviya were guests at Ruchi Ram Sahni’s house sometimes. This atmosphere left its impress upon the children of the family. Intense patriotism, generosity and fearlessness grew in Birbal.

Birbal’s mother Ishwar Devi was a pious lady. Her one aim in life was to see that her children received the best education. Accordingly all the five sons got educated in European Universities. The education of the daughters was not neglected. Their elder daughter was among the first batch of women to graduate from Punjab University.