How do you generate Rs. 2 crores?

They say that "Every penny counts"

And it couldn't be more true!

When we speak about savings, we keep thinking how saving just 100 or 200 or 500 rupees is going to help us.

But we forget one thing - consistency

Today, let's see how you can generate wealth by small savings every month.

Let's assume you're someone who spends Rs. 4,000 on travel every month, Rs. 2,000 on parties (pre and post Covid, of course), Rs. 40,000 on rent and Rs. 2,000 on dining.

If I were to tell you to cut it down by 5-10% each, it wouldn't be that difficult. But that would totally amount to roughly Rs. 4,000.

”How would that generate wealth?”, you may ask.

Here's how - with the money saved, start a step-up SIP for Rs. 4,000 monthly, where you step it up by 5% every year.

A step-up SIP is one where you start the SIP with any amount, and then give instructions to the Mutual Fund company to increase your SIP amount by x% every year.

This means that in Year 1, if you have 4,000 per month going towards this SIP and step it up by 5%, in Year 2 it'll be 4,200, Year 3 it'll be 4,410 and so on.

Now with this step-up SIP starting with Rs. 4,000 (which you started by cutting down on your expenses by a meagre 5-10%) going on for 30 years, the corpus you would be able to generate would be 𝗥𝘀. 𝟮 𝗰𝗿𝗼𝗿𝗲𝘀!

What starts as cutting down on your monthly expenses by 5-10%, can generate a corpus of Rs. 2 crores. All it needs is for you to just start.

That’s the power of discipline, budgeting and compounding.

PS: Instead of cutting down expenses, you can also start by cutting down your taxes and investing the saved amount in a Mutual Fund. Have you used Jackfruit to save tax? If not, reply to this email or send me a mail on ankur1001@gmail.com and we’ll send you the beta link right away!