How Can You make Rs. 50 lakh in 5 years? (2024)

FAQs

How Can You make Rs. 50 lakh in 5 years? ›

One strategy that can help you reach this goal is to invest in a mix of different assets, such as stocks, bonds, mutual funds, and real estate. This diversification helps to spread out the risk and increase the chances of achieving your desired returns.

Fixed Deposits (FD)

For instance, if you divide INR 50 lakh in 5 equal denominations and get 5 FD accounts in different banks, you can easily earn a monthly income in the range of INR 30,000 to 40,000 with the 50 lakhs interest per month.

If you have Rs. 50 lakhs to invest and want higher returns on it, an equity fund would be your best option. However, this is only for aggressive investors who are not afraid of the risks involved. On the other hand, if you want to play safe, a fixed deposit or a post office scheme would be more beneficial for you.

One strategy that can help you reach this goal is to invest in a mix of different assets, such as stocks, bonds, mutual funds, and real estate. This diversification helps to spread out the risk and increase the chances of achieving your desired returns.

If you can afford to put away $1,400 per month, you could potentially save your first $100k in just 5 years. If that's too much, aim for even half that (or whatever you can). Thanks to compound interest, just $700 per month could become $100k in 9 years.

Becoming a millionaire in five years is an extremely aggressive goal, but it could happen. Although hitting a home run with an investment is what dreams are made of, the most realistic path is to put aside big chunks of money every year. The historical average return for the S&P 500 index is 8%.

If you earn more than 50 lacs a year you're in the top 0.3% of India. Above 25 lacs, you're in the top 1.2% of India. Only 3.2% of Indians earn above 15 lacs a year.

Where to invest 40 lakhs? ›

The answer is simple. Mutual funds. For retail investors seeking to accumulate wealth, mutual funds are one of the most accessible options available. Given your investment horizon, equity mutual funds could be a good option as they can provide inflation-beating returns over the long term.

Rs 1 lakh SIP: It would take 5 years 10 months to reach Rs 1 crore with Rs 1 lakh monthly SIP in a mutual fund scheme. Increasing the SIP amount by 5% annually would let you reach Rs 1 crore in 5 years 5 months at 12% interest.

You plan to invest $100 per month for five years and expect a 6% return. In this case, you would contribute $6,000 over your investment timeline. At the end of the term, your portfolio would be worth $6,949.

They Set and Achieve Goals

Wealthy people don't simply expect to make more money; they plan and work toward their financial goals. They have a clear vision of what they want and take the necessary steps to get there.

How to save $1 million dollars in 5 years? ›

In order to hit your goal of $1 million in 10 years, SmartAsset's savings calculator estimates that you would need to save around $7,900 per month. This is if you're just putting your money into a high-yield savings account with an average annual percentage yield (APY) of 1.10%.

This may seem daunting, but the truth is, it's never too late to start. For example, if you are 35 years old and just starting to take control of your finances, you can still reach millionaire status by the time you're 62, which is before normal retirement age.

While becoming a millionaire in your 40s may seem difficult (and it is), it is something that many people can achieve. All it takes is the right mindset, discipline, savings, and a laser-sharp focus toward building wealth.

It is Never Too Late to Build Wealth

It is not unheard of for people to become millionaires AFTER they retire. And, the average age when people become millionaires is 58.5 for women and 59.3 for men according to a report from Fidelity investments. Don't ever think it is too late.

Gold and other precious metals have long been considered a smart way to fight inflation. That's because it tends to hold its value and preserve your purchasing power over the long haul, despite fluctuations in the dollar.

Among the “rich”, or those with an annual household income of over Rs 30 lakh, every household owns a car. In the category of “crorepatis”, there are al-most three cars per family.

What is a comfortable salary in India? ›

As of 2022, the average salary in India is around Rs. 5.7 lakh per annum (INR 47500 per month). However, this can vary greatly depending on various factors, such as industry, job type, location, and experience.

It would be around 60-odd lacs. Considering that this survey is about 3 years old and incomes shot up drastically in that period, I would say someone earning about 80-90 Lacs today will be considered in the top 1% of Indian households. I guess that would be the definition of rich.

This investment can be done through banks or other financial institutions. The monthly interest rates on a ₹30 Lakhs fixed deposit are much higher than that of a savings account. Current rates allow you to earn up to 8.20% on ₹30 Lakh FD. The time period for these fixed deposits generally range from 7 days to 10 years.

If the inflation rate is 6%, your monthly expenses will rise from ₹50,000 to ₹1.20 lakhs by the time you turn 40. This means you will need ₹14.40 lakhs a year to maintain your lifestyle. By this calculation, you should have a little over ₹4.30 crores by the age of 40 to attain financial freedom.

₹45 Lakh Home Loan EMI for 10 Years

Here, P denotes the principal amount, R is the monthly interest rate (annual interest rate divided by 12), and N is the number of EMI payments. EMI= ₹53,157. Instead of doing this complex calculation, you can simply use an online home loan EMI calculator. 8.74% p.a.

How to invest 50 lakhs for 10 years? ›

50 Lakhs in 10 years, one needs to make a monthly SIP amount of Rs. 22000 (Assuming a CAGR return of 12%). You can think of building the portfolio with a healthy mix of funds from Large & Mid Cap, Flexi Cap, Mid Cap and Value categories of equity. It is advisable to divide the monthly SIP amount (Rs.

With a combined income of Rs 20,000 a month, a couple can still lead a decent life in any Indian city. Three experts do the math for you keeping in mind the costs of living in 3 cities. With a combined income of Rs 20,000 a month, a couple can still lead a decent life in any Indian city.

I think if I will ask “Is 1 Crore enough to Retire?” most of you will say “Yes” & even I agree in some of the cases it will be YES. But unfortunately in most cases, Rs 1 Crore will not be able to provide you decent income to survive.

Value of Rs 1 lakh per month SIP

Here is what a Rs 1 lakh monthly in a Systematic Investment Plan can do over the years: 5 year SIP of Rs 1 lakh monthly = Rs 85 lakh. 10 year SIP of Rs 1 lakh monthly = Rs 2.3 crore. 15 year SIP of Rs 1 lakh monthly = Rs 5.0 crore.

How to turn 100k into 1m? ›

There are two approaches you could take. The first is increasing the amount you invest monthly. Bumping up your monthly contributions to $200 would put you over the $1 million mark. The other option would be to try to exceed a 7% annual return with your investments.

How to Invest in Cryptocurrency. In simple terms, you need a place to buy it and a place to put it. The most popular place to purchase cryptocurrency is cryptocurrency exchanges. There are several different exchanges to choose from, with the most popular being Coinbase, GDAx and Bitfinex.