From Rs 15,000 monthly SIP to Rs 10 crore retirement corpus; how is it achievable?
How to build Rs 10 crore retirement corpus: When we talk about investment, time matters a lot. If you don't have a large amount to invest and want to invest it monthly in a scheme, the duration of the investment can do wonders. E.g., if you invest Rs 5,000 through a systematic investment plan (SIP) and get 12 per cent growth on it every year, in 5 years, your investment will be Rs 300,000, and the expected amount will be Rs 4,05,518, but if you get the same annualised growth for 20 years, your investment will be just Rs 12,00,000, but your expected amount will be Rs 45,99,287, nearly four times of the principal amount. Keeping time and steady growth in mind, is it possible to build a Rs 10 crore corpus by investing Rs 15,000 monthly through SIP in a mutual fund(s). Know it through our projections-
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(Disclaimer: This calculation is for education purpose only. This is not investment advice. Do your due diligence or consult an expert before investing.)
SIP investment conditions
Here, we are assuming an SIP investment of Rs 15,000 monthly. It can be in 1 mutual fund or multiples. The idea is to get steady returns of 12-15 per cent annualised return to reach the Rs 10 crore corpus goal.
Years to reach Rs 10 crore corpus through 12 per cent SIP returns
If one is getting 12 per cent annualised returns on their SIP investment, it will take 37 years to reach the Rs 10 corpus target.
Years to reach Rs 10 crore corpus through 12 per cent SIP returns
In 37 years, their investment will be Rs 66,60,000. The estimated long term capital gains will be Rs 9,74,37,773, and the estimated amount will be Rs 10,40,97,773.
Years to reach Rs 10 crore corpus through 13 per cent SIP returns
If one is getting 12 per cent annualised returns on their SIP investment, it will take 35 years to reach the Rs 10 corpus target.
Years to reach Rs 10 crore corpus through 13 per cent SIP returns
In 35 years, their investment will be Rs 63,00,000. The estimated long term capital gains will be Rs 9,89,02,377, and the estimated amount will be Rs 10,52,02,377.
Years to reach Rs 10 crore corpus through 14 per cent SIP returns
If you get 14 annualised SIP returns on your investment, you can reach the Rs 10 crore corpus in 33 years.
Years to reach Rs 10 crore corpus through 14 per cent SIP returns
In 33 years, the investment will be Rs 59,40,000, long-term capital gains will be Rs 9,69,43,244, and the expected amount will be Rs 10,28,83,244.
Years to reach Rs 10 crore corpus through 15 per cent SIP returns
If you get 15 per cent annualised SIP returns on your investments, you can reach the near-Rs 10 crore corpus in a little over 31 years.
Years to reach Rs 10 crore corpus through 15 per cent SIP returns
If you invest it for 32 years, your investments will be Rs 57,60,000, long-term capital gains will be Rs 10,63,78,018, and the expected amount will be Rs 11,21,38,018.