'Up to 25% of income on EMIs...': CA warns about hidden cost of borrowed lifestyles 

In today’s high-pressure consumer economy, it’s often not a bigger salary but smarter personal finance habits that determine who achieves real financial freedom. That is the core message tax expert CA Nitin Kaushik delivered in a new post on X (formerly Twitter), where he cautioned that Indians are increasingly losing control of their lifestyle to EMIs rather than expenses. 

Kaushik, known for his practical and relatable financial insights, wrote that the real trap for most people isn’t money itself but the monthly instalments they commit to. “Most people don’t get trapped by money. They get trapped by EMIs,” he said. 

He pointed out that the average Indian household now spends 20-25% of its monthly income on EMIs, leading many to feel like they are earning but not truly living. Debt, he warned, “slowly eats away your freedom before you even notice.” 

Kaushik urged people to pause and rethink purchases that require loans, especially non-essential ones. “If something requires a loan, I rethink, wait, save, or skip,” he wrote, stressing that a lifestyle funded by debt is ultimately one “owned by the bank.” 

He highlighted common spending decisions — from cars and phones to vacations — that often push people into unnecessary borrowing. If you can’t buy it without debt, he said, it’s a sign your finances need “patience, not pressure.” 

Challenging the widely promoted idea that debt is a tool for wealth creation, Kaushik argued that true financial stability comes from clarity, savings, and discipline. “Wealth grows quietly; EMIs grow aggressively,” he noted. 

He concluded with a line that has resonated strongly across social media: “Zero EMI is the highest form of financial luxury.”