On 28th September 1990 Bhagawan gave details of the early life of His previous advent as Shirdi Baba as that day was his Birth Anniversary. So piecing together all these revelations, the events that led to the Sai Avatar, and the birth and early part of Shirdi Baba's life can be summarised thus:

Sai Avatar belongs to the lineage of Bharadwaja Rishi, one of the Sapta Rishis. Bharadwaja was a great sage who did penance and was given three terms of life of a hundred years each so that he may master the Vedas. At the close of 300 years Indra, the Lord of devas (celestial beings) appeared before the disappointed Bharadwaja and told him what he had learnt was only a fistful of the great Himalayan mountain and that it was a futile attempt to master them in a few life spans. Instead, he advised him to perform a Yagna (fire sacrifice) which he taught him how to do, with Lord Shiva and his consort Shakti presiding over it. Sage Bharadwaja left for Kailasa for inviting the divine pair. As they were engaged in a cosmic dance Bharadwaja had to remain in icy cold for eight days unnoticed. But when he fell paralysed and unconscious it drew the attention of Lord Shiva who suddenly sprinkled holy water on the left side and revived him. Annoyed at the neglect shown to the sage Lord Shiva pronounced a punishment on his consort to undergo a similar stroke in one of her incarnations. Pleased at his devotion Shiva assured Sage Bharadwaja to preside over the Yagna alongwith his consort and also told him that he and his consort would take birth in his lineage thrice. Many years passed.

In the former Nizam's dominions there was a remote village called Pathri. There lived a pious brahmin couple, Gangabhavadya and Devagiriamma. They were worshippers of Iswara and Parvati. They were childless and ardently prayed for an offspring. Gangabhavadya used to ply boats ferrying passengers near the village as a means of livelihood . One night when it was raining heavily, he went out to take care of his boats telling his wife that he would return only in the morning. Devagiriamma took food and retired to bed. After some time she heard a knock at the door; thinking that her husband must have returned she opened the door. But she found an old man who sought permission to stay inside the house as it was very cold outside. Being pious, to honour the guest, she allowed him to stay in the inside varandah and closed her room. After some time there was again a knock and this time the old man asked for some food as he was hungry. She managed to give him something to eat and again closed the door. There was a knock again after sometime. This time he asked for female company to massage his legs. Upset at this strange request, Devagiriamma went into the puja room and wept before goddess Gowri. All the same she went out by the back door to find out someone who could do the service to the old man. In no time there came a woman enquiring whether she had been sent for. Relieved, Devagiriamma sent the lady to the guest and again closed the door. The old man and the lady were Lord Shiva and Parvathi. They were pleased at the devotion of the couple and appearing in their original form offered boons to Devagiriamma. A son and a daughter were granted to them by Iswara as desired by her. But pleased with their devotion Iswara conferred another boon that he himself would be born as their third son. When told in the morning, her husband did not believe the story.

As years passed Devagiriamma became mother of a son and a daughter. She conceived a third time, but Gangabhavadya had already made up his mind to go to the forest as a 'vanaprastha'(recluse). So she also decided to accompany him. On their way she delivered a male child, but wrapping the babe in a piece of cloth and leaving it on the wayside she proceeded with her husband. No one knew who the parents were. A childless Sufi Fakir found the child and he brought him home. Since they knew nothing about his parents they called him Baba.

Actually he was born on 28th September 1838 (as revealed by Bhagawan Sri Sathya Sai Baba). The boy stayed with the Fakir for four years(1838-42). The fakir passed away. His wife looked after the child with great affection. But the boy became controversial as he would sing in praise of Allah in temples and in praise of Rama and Shiva in the mosque. Unable to deal with the situation the fakir's wife handed over the boy to a pious scholar named Venkusa who was living near her house. The boy stayed there for 12 years. Venkusa was very fond of the boy. This kindled the jealousy of others in the Ashram. One night in 1854 the boy left the Ashram. He reached the village called Shirdi. He stayed there for just two months as he preferred to wander about. After a few years he reached a place called Dhoopkheda. It was then that the marriage of Chandu Patel's brother's son was celebrated there. The young Baba joined the marriage party and reached Shirdi again in 1858. From that day till 1918 Baba lived there only. Thus the first of the three avatars as granted by Lord Siva has been fulfilled.

Now at the Gurupoornima declaration of Bhagawan on 6th July 1963 His own story has also been revealed

"I have been keeping back from you all these years one secret about me. The time has come when I can reveal it to you, for this is a sacred day. I am Shiva-Shakti born in the gothra of Bharadwaja, according to a boon won by that sage from Siva and Sakthi. Siva Himself was born in the gothra of that sage as Sai Baba of Shirdi. Shiva and Sakthi have incarnated as Myself in his gothra now. Shakti alone will incarnate as the third Sai in the same gothra in Mysore State.

"This illness has to be borne by Shakti (the consort of Shiva), for she incurred the ire of Her Lord by neglecting to notice Bharadwaja for full eight days at Kailas, their Home. As a consequence of the neglect Bharadwaja had suffered a stroke, Siva sprinkled the restorative water and revived him. Today you saw the illness of Sakthi (the left half) cured by Shiva (the right half) by the same means. These are matters beyond human ken; so I had kept it from you so long, but now that within the knowledge of so many Shakti suffered and Shiva saved, it is time you knew this. The Bhakta who was saved by My 'taking over' is only the immediate cause; the remote cause is the boon and the retribution"