How to make Rs 1 crore by investing Rs 10000 a month?

make rs 1 crore

How to make Rs 1 crore by investing Rs 10000 per month?

Setting financial goals is the first step in an investor’s journey. This could vary based on your context. One such goal is how to invest to make Rs 1 crore. Time and compounding will be your friend in your journey. Let us see how-

You will learn-

  1. Things that will help you make Rs 1 crore
  2. Things that will help you not make Rs 1 crore

1.    Things that will help you make Rs 1 crore

  • Mutual funds– Investing in mutual funds is one of the best ways to get higher returns while managing risk. In India, well managed mutual funds have been able to deliver rate of return above the Sensex and other investment instruments available to you. The returns in mutual funds can vary from year to year but given a longer time frame of 10-20 years, their returns are superior.
  • SIPs- Systematic Investment Plan (SIP) helps you save regularly. Pay yourself first is an oft quoted investment principle. SIP allows you to pay yourself first by setting aside a part of your income for future. After that, you can use the rest for meeting the expenses. You should also consider increasing the SIP amount after every year.

Assuming a 15% percent return on equity mutual funds, let us calculate how much time it will take for you to reach 1 crore.

If you invest Rs 10000 as SIP each month, then it will take you around 18 years. While, if you invest Rs 15,000 each month, then it will take you around 15 & half years. If you invest Rs 20,000 each month, then it will take you less than 14 years.

make Rs 1 crore
You need to decide, when you want those 1 Cr and invest accordingly. The amount you invest is under your control.

However, it may be the case that you don’t have Rs 10K to invest when you are just starting out or have other liabilities. In that case you can decide to increase SIP amount every year and start investing right away. In this case, let us say you decide that you will increase your SIP amount by 10% every year. Then, you need to start investing only Rs. 4,000 approx. From next year invest Rs. 4,400 & the year next to it, Rs. 4,840 and so on.

make Rs 1 crore

  • Patience & discipline- You must be patient and disciplined in making investments and let them perform in the market. There will be periods where market will not perform as expected. It is at those times, you need to exercise patience and not pull out your investments. Getting in after getting out is exceptionally hard. Also, you must maintain investing discipline by continuing investing regularly even at times markets are underperforming. Investments made in times of underperformance ensure that you get much better returns when market revives, which it does eventually because of its cyclical nature.
  • Choose a trustworthy investment advisor- If you are a new investor then it makes sense to have an investment advisor. You should be cautious on who you trust with this responsibility. Don’t fall for hard selling of investment instruments but do your research. Go for an advisor who does not get any commission from the mutual fund companies because only then he/she will have your best interests at heart.
  • Increase your income- There is nothing wrong in asking for a raise. You can work to upgrade your skills. If time permits, you can also take up a second job. All these are ways to increase your income and have that extra amount to invest.

2.    Things that will help you not make Rs 1 crore

  • Procrastinate- Some people just take too long to start. They have reasons that I will research, or I want to enjoy my life. Starting early means reaching your goal much faster.

Say Mr. X & Mr. Y both want to have 1 Cr corpus in 20 years. Mr. X starts investing right away in SIP while Mr. Y delays the investment for 5 years. There will be huge difference in the regular investment required by both.

If the investments of both Mr. X & Mr. Y give 15% returns then:

Mr. X needs to invest Rs.7,624 monthly.

Mr. Y needs to invest Rs. 16,414 monthly.

You can see that even though Mr. Y was late by 5 years, i.e. he lost only 25% of the time available, the investment required more than doubled and  increased by 115%.

  • Leave free money on the table- Don’t be lazy in matters that can help you have more money to spend. Not making investments to reduce your taxes is one of them. Another is going for regular mutual funds instead of direct mutual funds.
  • Spend too much- Suppose a person invests Rs 10,000 per month in SIP. However, he eats out every third day with an average bill of Rs 500. He also goes out on weekends to movies, restaurants and more with average spend of Rs 1000. Conservatively, he is spending more than Rs 9000 every month on things that he can avoid. A disciplined person can easily convert this situation to 15,000 in SIP and 4000 in discretionary spends. Same can be said about fancy cars and motorcycles. Do you really want to block your money in something whose value decreases over time?
  • Play too safe or risk too much- It is important to maintain a balance between minimizing risk and seeking superior returns. Don’t restrict yourself to lowest risk instruments. This will lead to lower returns and you will take more time to reach your goal. In contrast, chasing very high returns can lead you to taking too much risk. Diversification is important, don’t bet too much on a few stocks instead invest in mutual funds.

Becoming a crorepati is not tough if you have a disciplined approach and start investing early.

benefits of SIP

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7 Comments on “How to make Rs 1 crore by investing Rs 10000 a month?”

    1. Hi Tulsiram,

      You can split into a large cap fund and a mid cap fund. Go for SBI Blue chip fund-direct-growth & Aditya Birla Pure Value fund-Direct-growth for 2500 Rs. SIP in each.

      Team WealthTrust

  1. Hi,

    I need personal advise to invest in mutual fund for both lumpsum and SIPs. I have already invested in the mutual funds. Hence request you to check my portfolio and advise me to proceed further to invest. Please let me know the charges to be paid for this personal advise.

    Thanks & Regards,

  2. I have surplus funds if around Rs. 5 lakh and would achieve an asset size of Rs. 1 crore in 10 years. I can spare around Rs. 10 -15000 per month to build up such corpus. Can you Pls suggest me the investment options to achieve my goal?

    1. Hello Sir,

      Great to see your interest. For the Rs. 5 Lakh surplus we would suggest you to do Liquid + STP in mutual funds. e.g you can invest Rs. 5 Lakhs in Birla sunlife cash plus plan and then start a monthly STP of Rs. 25,000 for 20 months. This would ensure that you average out the risk of putting lumpsum in equity funds. For Rs. 10-15 K monthly investments we recommend you start an SIP in equity oriented funds. We have Premium and Advisory services as well where our team can help you invest. Request you to drop an email to and we can help you create a custom portfolio that helps you grow to 1 Cr in 10 years.

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