Power of 12% SIP Return: Whether you are planning to accumulate a substantial corpus for post-retirement life, to buy a house, or for any other future financial need, it is important to plan and invest your money strategically. This is because proper planning helps to invest money monthly while managing the daily expenses.
If you are looking for an investment strategy where you can invest money monthly and accumulate a substantial corpus in the long term, then SIP in mutual funds can become the parking spot for your money. This strategy helps investors to contribute a fixed amount regularly, based on their financial capacity. This interval can be monthly, weekly, or annually.
In this write-up, we will calculate the time required to build a retirement corpus of Rs 10 crore, Rs 12 crore, and Rs 15 crore with a monthly SIP of Rs 25,000. It should be noted that the assumed average annual return rate for these calculations is 12 per cent.
How quickly can you generate a Rs 10 crore retirement corpus with a Rs 25,000 monthly SIP?
If you want to build a retirement corpus of Rs 10 crore with a Rs 25,000 monthly investment, then you need to invest for at least 33 years in SIP mutual funds.
Generate Rs 10 crore corpus with Rs 25,000 monthly SIP in 33 years: Calculations
- Total Investment: Rs 99,00,000
- Estimated Capital Gain: Rs 9,93,90,620
- Total Corpus Received: Rs 10,92,90,620
How quickly can you generate a Rs 12 crore retirement corpus with a Rs 25,000 monthly SIP?
You need to invest Rs 25,000 monthly in SIP for at least 34 years to build a retirement corpus of over Rs 12 crore, the calculation shows.
Generate Rs 12 crore corpus with Rs 25,000 monthly SIP in 34 years: Calculations
- Total Investment: Rs 1,02,00,000
- Estimated Capital Gain: Rs 11,25,24,657
- Total Corpus Received: Rs 12,27,24,657
How quickly can you generate a Rs 15 crore retirement corpus with a Rs 25,000 monthly SIP?
To build a retirement corpus of over Rs 15 crore with a Rs 25,000 monthly SIP, you need to invest for at least 36 years.
Generate Rs 15 crore with Rs 25,000 monthly SIP in 36 years: Calculations
- Total Investment: Rs 1,08,00,000
- Estimated Capital Gain: Rs 14,38,22,434
- Total Corpus Received: Rs 15,46,22,434
(Disclaimer: Our calculations are projections and not investment advice. Do your own due diligence or consult an expert for financial planning.)
