SIP se crorepati: How difficult is it to reach that multicrore goal? CA shares the hard truth

We all dream of becoming a crorepati one day. But how many of us actually have a concrete plan to get there? SIPs are popular among salaried individuals and are particularly effective for young investors aiming to start early and build a retirement corpus. As part of a balanced asset allocation, SIPs can be a smart investment strategy.

However, it’s important to remember that SIPs don’t guarantee higher returns. Systematically investing a fixed amount in mutual funds over time can help investors accumulate significant wealth — even reaching a goal of Rs 1 crore — though outcomes depend on market performance and fund choices.

According to Viral Bhatt, Founder of Money Mantra, it’s not an impossible dream, but it requires discipline, consistency, and smart planning.

“Many people assume they need huge amounts to become wealthy, but that’s not true,” says Bhatt. “Even modest amounts invested regularly can grow significantly over time, thanks to the power of compounding.”

For instance, if you invest Rs 5,000 per month in a Systematic Investment Plan (SIP) yielding an average return of 12% per annum, you’ll accumulate roughly ₹50 lakh in 20 years. “That’s a good sum, but it falls short of the Rs 1 crore mark,” Bhatt notes.

So, how can investors aim for a crore? Bhatt suggests two practical strategies. “Either start with a Rs 10,000 monthly SIP right away, or begin with Rs 5,000 and increase it every year. That’s called a step-up SIP,” he explains.

A step-up SIP aligns with your income growth. “Let’s say your salary grows by 8–10% each year. Why should your SIP remain static?” Bhatt asks. “Every salary hike is an opportunity to boost your investments and accelerate wealth creation.”

Yet, many investors falter along the way. “People often start late, stick to the same SIP amount for years, or panic and stop their SIPs during market corrections,” says Bhatt. “But SIP isn’t just an investment tool—it’s a habit. The discipline and consistency you bring to your SIPs are what separate dreamers from achievers.”

Bhatt advises aspiring crorepatis to follow three simple principles: start as early as possible, increase your SIP amount with every pay raise, and review your goals annually to stay on track.

“Start small, but start today,” Bhatt emphasizes. “Align your SIPs with your income growth. Review and adjust your plan every year. And twenty years later, you’ll look at your portfolio and see those seven digits staring back at you. You’ve earned it—one SIP at a time.”