Scenario 1: Rs 10 Per Day
Suppose you invest Rs 10 per day, which amounts to Rs 300 per month, into an SIP for five years with an annual return of 12% per annum. At the end of five years, your investments may grow into Rs 25,008.87, with a total return of Rs 6,758.87. Your total investments in five years will amount to Rs 18,250.
Scenario 2: Rs 20 Per Day
If you invest Rs 20 per day, or Rs 600 per month, in an SIP for five years at 12% return per annum, your total corpus may grow to Rs 50,017.74. Your estimated returns would be approximately Rs 13,517.74, over a total investment of Rs 36,500.
Scenario 3: Rs 50 Per Day
Now let’s consider an investment of Rs 50 per day, or Rs 1,500 per month, through a SIP for five years with a 12% return every year. Your overall investment will stand at Rs 91,250. The total corpus is expected to rise to Rs 1,25,044.34, with an estimated return of Rs 33,794.34.
In short, a micro SIP won’t turn you into a millionaire overnight, but it could be a suitable beginning. Even Rs 10 a day can help to accumulate a sizable corpus over the years. Most importantly, it helps develop the habit of investing early.
