A monthly SIP of ₹500 feels small — but over 20 years you will have invested ₹1,20,000, and compounding does the heavy lifting from there.
Projected value after 20 years
| Assumed return | Final value | Wealth gained |
|---|---|---|
| 8% | ₹2,96,474 | ₹1,76,474 |
| 10% | ₹3,82,848 | ₹2,62,848 |
| 12% | ₹4,99,574 | ₹3,79,574 |
| 14% | ₹6,58,173 | ₹5,38,173 |
At the commonly used 12% long-term equity average, your corpus is roughly ₹4,99,574 — that's 4.2× what you put in.
Where does ₹500 a month come from?
That's about ₹17/day. Most people find it by capping one leaky category — eating out, impulse shopping or subscriptions — and moving the savings on payday, before spending starts.
The habit that makes SIPs work
SIPs only compound if they survive every month. Give the SIP its own "recurring" entry in your budget so it is treated as a bill, not leftovers — across 20 years that discipline is worth more than fund selection.
Expense Tracker: Income Manager keeps budgets, EMIs, SIP goals and daily spending on your phone. No account, no ads, no cloud.
