How a 500 Rupee SIP Can Become a Millionaire: Small Investments, Big Returns

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In the last few years, there has been a lot of awareness in the country and the world about Mutual funds and Investment. This has had the greatest impact on the youth of the country, due to which today every youth just wants to invest their hard-earned money in a good place and earn good returns.

It is a different matter that people want to invest, but due to lack of information about Mutual Fund Idea, people take this matter lightly. Also, people who want to invest do not have time to find a good fund or scheme. Due to which they try to avoid the risk of any kind of investment.

Know About Mutual Fund in Detail

Nowadays, information about investment and many types of information related to it is being taught from small children’s schools to big degree colleges about Mutual Fund Idea. And at the same time, people are also being made increasingly aware about it, so that they can make their future financially stronger and brighter.

In today’s time, it is important for every family member and every citizen of the country to be aware of investment. Also, it is very important to think about strengthening your wealth by starting with some kind of small investment. For this, they will have to save some money from their salary or income, so that they can think about investment and start it.

Because only when there is savings, there will be investment and only when there is investment, people will be able to fulfill their dreams in future. That is why from now onwards, all of you should think about investing and take information related to it and share it with others and make them aware about it.

How Much Money to Start Investing in Mutual Fund

Though those who have enough money can plan to invest anywhere according to their knowledge. Like any property or any kind of land or gold etc. But if we talk about middle class people, then they can also earn good returns in the long term by investing only Rs 500 per month.

Mutual Fund
But the most important thing is where and when to start investing. So in today’s post, we are going to tell you about the best idea of ​​Mutual Fund so that you do not have to think much and worry.

If a person saves only Rs 500 per month and invests in Mutual Fund in the form of SIP, then he can become a millionaire in one time. If you do not know about SIP i.e. Systematic Investment Plan, then you can know about it in detail by clicking on this link.

What is Mutual Fund? How to invest in Mutual Fund with Best Return?

If you want to know about SIP in brief, then just understand that it is a method of investment, through which you can earn returns by investing a small amount in any big brand or company. You can invest anything from Rs 100 to your limit, for which it is important to choose a better fund and scheme.

Always think of long term investment in Mutual Fund Idea
If you plan about investment, do it for a long time because no fund can give high returns in the short term. Investment made for a minimum of 5 years and if possible for 15 years or more can be more beneficial.

If you want to calculate the annual and long term return on mutual fund investment, then there are many such calculators available on the online platform, which you can take help from.

According to an estimate, if a person invests for 20 years or more in his life, then he can get an average return of 15 to 19 percent at an annual rate. At the same time, there are some funds which have given returns of up to 30 percent at an annual rate for the last few years.

What is Compounding Interest in Mutual Fund Idea?

If you do not know much about the compounding interest received on investment through SIP, then let us tell you that it is a kind of 24-hour interest scheme. Which can also be called compound interest. Suppose you have invested Rs 500 in a mutual fund scheme every month from January to December of the year 2023, then that entire investment of yours will be Rs 6000 for 12 months.

For example, let’s assume that you got 15% interest on that Rs. 6000, then your total balance of investment amount and return on it is Rs. 6,900. But then next year when you do SIP, then at the end of the year, you will get even more interest by calculating compounding on the interest already received.

Power of Investing Rs 500 Per Month

If a person invests Rs 500 every month for 40 years, then the total amount in SIP becomes Rs 2,40,000. If we add only 15 percent interest at an annual rate, then the total return that person will get will be Rs 1,54,61,878 in the end. Thus, if we add the amount of investment made by the person and the total return, then the total amount will become Rs 1,57,01,878. That is, a long term investment of just Rs 500 created a bank balance of Rs 1 crore in 40 years.

If the same investment had been made for only 30 years, then the total amount of Rs 35,04,910 would have been deposited in that person’s bank account by combining both the return and the investment amount.

Only Long Term Investment is Beneficial

This way you can see how big a difference a difference of 10 years makes between investments of 30 years and 40 years. This proves that only investments made for the long term can create a good amount of wealth for you. For this, a little patience and good planning is very important.


But before making any kind of investment, get complete information about Mutual Fund Idea and about it, otherwise you may have to take a big risk in the future. Many times due to lack of information and haste, the invested money is lost, so invest your money wisely and take advice from an expert.