SIP Calculator: A common advice from financial experts is to start investing as soon as possible, because its benefits are manifold. If a SIP of Rs 1000 is started at the age of 25, then a total of 50 lakhs can be easily received on retirement.
SIP Calculator: Everyone’s dream is to become a millionaire. It is also easy to become, if you adopt the right financial tips. All financial experts have a common advice that first you should set your goal. After that start investing in the right investment options. The longer your investment is, the higher the returns. SIP is recommended for long term investment. The specialty of Systematic Investment Plan is that it gives you multiple time returns in the long term. In such a situation, the profit will be more if you start investing along with earning.
Rs 100 SIP possible for everyone
Generally, youth start earning at the age of 23-25. Earning starts early, but investment starts late. Due to this delay, financial stability is not available. In this article, we will tell you how SIP of 1000 rupees makes you a millionaire by investing as soon as you start earning. 1000 rupees every month is a very small amount to invest for your future.
Will get 50 lakhs on retirement
According to the SIP calculator, if a youth starts depositing Rs 1000 every month at the age of 25, he can easily prepare a fund of Rs 40-60 lakh for his retirement. According to the calculator, if someone does a SIP of Rs 1000 every month at the age of 25 and gets an average return of 11 per cent, then he will get a total of Rs 49.73 lakh on retirement i.e. at the age of 60 years. In these 35 years, his total deposit will be only Rs 4.2 lakh, while the return is Rs 45.53 lakh. The net return is around 50 lakhs.
5 years delay reduces the fund by Rs 12 lakh
If the average return is 10%, then he will get a total of Rs 38.28 lakh. If the return is 12%, then his fund will be Rs 65 lakh. If the investment is started from 30 years and the return is 11%, then he will get a total of Rs 28.30 lakhs on retirement. This calculation clearly shows that with a delay of just 5 years, his retirement fund gets reduced by about Rs 12 lakh. This is the reason why financial experts advise to start investing as early as possible.
