Your SIP Investment Amount Increases with Age! Don’t Delay
Do you know the burden of your savings increases with your age? If no, then you must spend your valuable five minutes to read this blog which can help you save your money and time both for the future.
We all require savings which can be used in future for any uncertain incident or to achieve any financial objective. We save monies, plan our finances and expenses in the best manner, and keep moving forward in our lives to experience a better tomorrow. Generally, it happens with most of us that the savings we make fall short of meeting our requirements, or we fail to keep aside adequate money to save as per our objectives. However, it does not happen with the people who are investing their money smartly through SIP because it not only helps in savings but also adds value to the investments over time. Let’s understand this concept more clearly so that you do not commit such mistakes, and achieve all your financial dreams by saving money through SIP.
Two friends A and B dreamed of buying a luxury car and own house at the age of twenty. They estimated that they would need Rs. 1 crore at the age of 50 to fulfil their dreams. At the age of 25, A started investing Rs. 5000 per month through SIP to attain his objectives. On the other side, B thought that he is too young to start investing now, and kept spending on other things. B started saving his money at the age of thirty five, and he had only fifteen years to create a corpus of Rs. 1 crore. He required an amount of Rs. 20,000 per month to invest through SIP which was not possible for him because of less salary. A kept investing the small amount in a hassle-free manner because he started early and gained the benefit of the power of compounding over time. At last, A reached his goal efficiently, but B failed to achieve. So, if you too start early then you can also attain all your financial goals easily like A. But, if you delay starting your savings, it will become troublesome with the passage of time.
You can create large corpus with small investments if you start early. But, you may not be able to manage the big amounts of instalments required to build wealth in less time. That is why we say the amount of your SIP instalments increases as you grow up older.
The benefits of the power of compounding can be enjoyed only if one starts earlier through SIP. It helps your investment to grow exponentially because it gets more time to add value to your investments. A year delay in starting your investment may cost a big opportunity loss. Generally, we keep delaying our investments and think of making them later. But, one needs to understand that each day spend without saving & investing leads to a reduction in the power of compound interest. If you have an objective to achieve in your life, start making efforts from today, it will help you reach your goals with fewer complications. Take a fresh start today with our best services to accomplish all your financial goals and don’t commit the mistake like B. Check the best mutual funds to start your SIP investment with us at MySIPonline and choose the most suitable schemes as per your dreams.
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