Salary-Based SIP Calculator (50-30-20 Rule)
Determine how much of your monthly take-home salary to invest in SIPs and project your long-term wealth as your salary grows in India.
From saving 30% (₹30,000/mo) with 8% annual hikes over 15 years
*Assumes automated monthly SIP compounding. Boost with bonuses for faster wealth accumulation.
Important Educational Disclaimer for Calculator Results:
Calculations are estimates based on your entered inputs and selected return or inflation assumptions. Results are illustrative, hypothetical, and not guaranteed. Actual market returns, interest rates, tax liabilities, and inflation rates will vary and may materially alter your final outcome. This calculator does not constitute financial, investment, or tax advice.
How much wealth does your salary create?
With a net in-hand salary of ₹1,00,000/month, allocating 30% (₹30,000/month) into mutual funds and stepping up by 8% annually with salary hikes creates an estimated wealth corpus of ₹2,31,72,760 over 15 years.
- Monthly SIP Allocation (30%): ₹30,000/month.
- Essential Needs (50% Budget): Up to ₹50,000/month (Rent, groceries, utilities, EMIs).
- Lifestyle Wants (20% Budget): Up to ₹20,000/month (Dining, shopping, travel).
- Total Wealth Created: ₹2,31,72,760 (+₹1,33,97,999 compounding gain).
How This Calculator Works
Applies the balanced 50-30-20 financial framework: 50% for Needs, 20% for Lifestyle Wants, and 30% automated into wealth-building equity SIPs on salary day.
Monthly SIP = Take-Home Salary × Target Investment % | Compounds with Annual Salary IncrementVariables in Formula:
Worked Step-by-Step Example
A salaried professional earning ₹1,00,000/month invests 30% (₹30,000/month) at 12% CAGR for 15 years with an 8% annual salary appraisal.
Key takeaway: Investing 30% of your salary consistently turns a ₹1 Lakh salary into over ₹2.27 Crores in 15 years.
Common Mistakes to Avoid
⚠ Investing whatever is 'left over' at the end of the month
Always follow 'Income - Savings = Spending'. Automate your SIP on the 1st or 2nd of every month immediately after salary credit.
⚠ Keeping SIP flat while salary doubles
When you receive a salary hike, increase your SIP proportionally before inflating your lifestyle.
Frequently Asked Questions
Complementary Tools
Educational Reading
Calculator = one answer. Financial Health Check = your full picture.
Answer 5 simple questions to see how your investments, debts, emergency fund, and cash flow fit together into a personalized blueprint.