Just ₹50 daily SIP in mutual funds: Build over ₹20 lakh in 25 years; how small savings grow your money over 5 to 25 yrs

You don't necessarily need a large monthly surplus to start investing. Even setting aside ₹50 a day could help you build a mutual fund corpus over the long term. The key is to make investing a regular habit and give your money enough time to grow.

Consider investing ₹50 a day, equivalent to approximately ₹1,500 a month, through a mutual fund SIP. Assuming an annualised return of 10% from an equity fund, here's how your investment could grow over different periods.

• 5 years: You would invest ₹91,250. At an assumed 10% annual return, your estimated gains could be around ₹27,150, taking the total corpus to approximately ₹1,18,000.
• 10 years: Your total investment would increase to ₹1,82,000. The estimated returns could be around ₹1,31,000, taking the corpus to nearly ₹3,14,000.
• 15 years: You would contribute ₹2,74,000 over this period. Your investment could generate approximately ₹3,62,000 in returns, building a corpus of nearly ₹6,35,000.
• 25 years: Your total contribution would be ₹4,56,000. At the assumed return rate, the investment could grow to approximately ₹20,41,000, including gains of nearly ₹15,84,000.

The difference becomes more noticeable as the investment period increases. While your daily contribution remains unchanged, the potential gains increase as returns accumulate on both your original investment and the returns earned over previous years.

For instance, extending the investment period from 15 to 25 years means contributing an additional ₹1,82,000. However, the estimated corpus could increase from ₹6,35,000 to ₹20,41,000, a jump of ₹14,06,000. This shows how time and compounding can influence long-term wealth creation.

A small daily investment can make a difference when given enough time to grow. While a ₹50 SIP may appear modest, staying invested for the long term allows compounding to work on accumulated returns. However, actual returns are market-linked and may vary depending on the mutual fund scheme and market conditions.

Sheetal Goel is a Content Producer at Livemint, where she covers corporate developments, personal finance, business trends, markets, and SEBI-related updates. She focuses on simplifying complex financial concepts and presenting them in a clear, reader-friendly manner, thereby helping audiences better understand investment trends, personal finance, and market developments. Her writing focuses on making finance more accessible to everyday readers while maintaining clarity, accuracy, and relevance. <br><br> She holds a degree in Economics (Hons.) along with an MBA in Finance, which has helped her develop a strong foundation in financial analysis, market understanding, and business reporting. Before joining journalism, she worked with finance and broking firms, where she closely followed market developments, investment strategies, and evolving industry trends. This practical exposure strengthened her understanding of financial markets. She has also written content across multiple formats and platforms, including YouTube, LinkedIn, and Instagram. <br><br> Over time, she has developed expertise in covering market-linked stories, investor-focused topics, and regulatory updates in a simplified yet informative style. She also enjoys reading and listening to Hindi poetry, reflecting her appreciation for literature and creative expression beyond the world of markets and numbers.

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