Power of Compounding: How soon you can generate Rs 4 crore corpus with just Rs 6,500 monthly investment?

Even a small amount can make a big difference. For example, if you start investing Rs 6,500 in a monthly systematic investment plan, you can generate Rs 4 crore in the long run. Let’s understand how this is possible. 

Anamika Singh | Jan 30, 2025, 06:53 PM IST

One should not underestimate the power of a small amount, it can do wonders in the long run. The key to building a sizeable corpus is investing early and staying consistent. Therefore, if you are planning to start your investment journey even with a small amount of Rs 6,500 or less, it may turn into a massive corpus in the long run. For now, we will understand how you can build a Rs 4 crore corpus with just Rs 6,500.

Photos source: Pixabay/Representational

(Disclaimer: Our calculations are projections and not investment advice. Do your due diligence or consult an expert for financial planning)

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Power of SIP

Power of SIP

A systematic investment plan is an investment scheme through which you can invest a fixed amount regularly. You can start with as small as Rs 100.

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Minimal impact on monthly budget

Minimal impact on monthly budget

SIP allows investors to start investing with a relatively small amount, often as low as Rs 100 per month. Unlike, lump sum investments, which require a one-time payment, SIP spreads the investment over time.

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SIP calculation conditions

SIP calculation conditions

Target corpus: Rs 4 crore
Annualised return: 12 per cent 
Monthly investment: Rs 6,500

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At what age you should start investing to reach Rs 4 crore corpus

At what age you should start investing to reach Rs 4 crore corpus

If you start investing at the age of 25, till the time you turn 60, you may have Rs 4 crore as your retirement fund. If you start investing a bit more early, at the age of 20, by the time you turn 55, you may have this target corpus.

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How long it will take to achieve the retirement corpus of Rs 4 crore with 6,500 monthly SIP

How long it will take to achieve the retirement corpus of Rs 4 crore with 6,500 monthly SIP

It will take approximately 35 years to build a Rs 4 crore corpus with just a Rs 6,500 monthly investment.

 

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How much corpus you can generate in 10 years with Rs 6,500 monthly SIP?

How much corpus you can generate in 10 years with Rs 6,500 monthly SIP?

The investment amount will be Rs 7,80,000, the estimated capital gains will be Rs 7,30,204, and the retirement corpus will be Rs 15,10,204.

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How much corpus you can build in 20 years with Rs 6,500 monthly SIP?

How much corpus you can build in 20 years with Rs 6,500 monthly SIP?

The investment amount will be Rs 15,60,000, the estimated capital gains will be Rs 49,34,461, and the retirement corpus will be Rs 64,94,461.

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How much corpus you can build in 30 years with Rs 6,500 monthly SIP?

How much corpus you can build in 30 years with Rs 6,500 monthly SIP?

The investment amount will be Rs 23,40,000, the estimated capital gains will be Rs 2,06,04,440, and the retirement corpus will be Rs 2,29,44,440.

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What will be your retirement corpus with Rs 6,500 monthly SIP?

What will be your retirement corpus with Rs 6,500 monthly SIP?

The investment amount will be Rs 27,30,000, the estimated capital gains will be Rs 3,94,89,249, and the retirement corpus will be Rs 4,22,19,249.

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