SIP Calculator: I am 30 years old. How much monthly SIP do I need to build a corpus of ₹5 crore by retirement?

Building a ₹ 5 crore corpus may seem like a distant retirement goal at first, but it is achievable through consistency and the power of compounding. If you are wondering how much money you should invest every month in just mutual funds to achieve this figure, the answer actually depends on when you start.

A 25-year-old investor has 35 years to let compounding work, while someone starting at 40 has only 20 years. The size of your retirement corpus also depends on factors such as your current salary, expected annual increments, monthly expenses and future financial needs.

While some expenses may rise with age such as health insurance premium, others such as children's education costs and EMIs may eventually reduce or end, changing how much you need to save for retirement.

Assuming a 12% annual return and a fixed monthly SIP with no increase in the investment amount over time, here's how much money you would need to invest each month (depending on your current age) to build a ₹ 5 crore corpus for retirement by the age of 60.

According to calculations using the Mutual Funds Sahi Hai calculator, a 25-year old individual, who may be a few years into their career, would need to invest around ₹ 8,000 per month to target a ₹ 5 crore corpus over 35 years.

At this SIP amount, the investor would have contributed around ₹ 33.60 lakh over the investment period, while the corpus could grow to approximately ₹ 5.2 crore, assuming a 12% annual return.

A 30-year old investor, who is still considerably young, would need to invest around ₹ 14,500 per month to target a ₹ 5 crore corpus over 30 years.

At this SIP amount, the investor would have contributed around ₹ 52.20 lakh over the investment period, while the corpus could grow to around ₹ 5.12 crore, according to the MF calculator.

A 35-year old investor, who is in their mid-career, would need to invest around ₹ 26,500 per month to target a ₹ 5 crore corpus over 25 years.

At this SIP amount, the investor would have contributed around ₹ 79.50 lakh over the investment period, while the corpus could grow to nearly ₹ 5.03 crore, according to the MF calculator.

As per calculations using the Mutual Funds Sahi Hai calculator, a 40 year old individual, who is also in their mid-career, would need to invest at least ₹ 50,000 per month to target a ₹ 5 crore corpus over 20 years.

At this SIP amount, the investor would have contributed around ₹ 1.20 crore over the investment period, while the corpus could grow to nearly ₹ 5 crore.

Please note that the figures mentioned below indicate the approximate corpus required if you are only investing in mutual funds. If you have investments in other assets, the figure may vary.

If you are currently in your mid-30s and plan to retire at 60, the estimated post-retirement monthly expense in today's value cannot be used directly. It must first be adjusted for inflation over the years leading up to retirement.