Retirement Planning: In how many years your monthly SIP investment of Rs 25K will grow to Rs 8.8 cr | See statistics
Retirement Planning: Whether you are a salaried employee, a small business owner, or an individual, planning for retirement is important. It ensures that, after retirement, you will not have to rely on others for your daily expenses. There are many options available to build a strong retirement corpus, and one very effective strategy is to invest in mutual fund SIPs.
Retirement Planning: Want to build more than Rs 8 crore with Rs 25K monthly SIP?
If you want to build a retirement corpus of Rs 8 crore with Rs 25,000 monthly SIP, then you need to plan and invest in SIP wisely. So, in how many years will your investment grow into a Rs 8 crore corpus? Know about math –
Build Rs 8 crore with Rs 25K monthly SIP: If annual return is 12%
To accumulate a corpus of Rs 8 crore, assuming an average rate of return of 12 percent, you need to invest for 30 years.
Build Rs 8 crore with Rs 25K monthly SIP: Calculate average investment
In 30 years, you will invest a total of Rs 90,00,000 ie, Rs 25,000 per month.
Build Rs 8 crore with Rs 25K monthly SIP: Calculate average capital gain
Calculating the expected return of SIP at 12 percent, a sum of Rs 7,92,47,844 will be earned as capital gains on this amount over 30 years.
Build Rs 8 crore with Rs 25K monthly SIP: Calculation to create a corpus of more than Rs 8 crore
As a result, at the end of 30 years, including the principal investment and capital gains, you will get a total of Rs 8,82,47,844.
Calculation – You become the owner of Rs 8 crore after 30 years
Total Investment Amount: Rs 90,00,000
Major advantages: Rs 7,92,47,844
A total of approx. Return: Rs 8,82,47,844
Benefits of SIP
SIP offers significant advantages, primarily due to the power of integration. The longer the length of the SIP, the greater the benefits of consolidation. With an average annual return of 15 percent, SIPs offer huge growth, outperforming many other investment schemes. Additionally, the rupee cost balancing feature ensures that costs remain stable, even during market fluctuations.
(Disclaimer: Our calculations are estimates and not investment advice. Do your own determination or consult a professional for financial planning)
