What is a Crorepati Calculator? How is it Helpful?

Do you wish to become a crorepati (millionaire)? For that, it’s important to opt for planned investments in a disciplined way to come closer to your aim of wealth creation. A tool that can help you with this is a Crorepati Calculator while a mode of consistent investment is a systematic investment plan (SIP).

What is a Crorepati Calculator? 

This tool helps you calculate the amount you need to invest every month to eventually turn into a crorepati. 

It works by collecting the following information from you: 

  • The amount in crores you aim at to regard yourself as wealthy 
  • Your current age
  • The age at which you wish to become a millionaire
  • The predicted rate of inflation over the coming years
  • The rate of return expected from your investment 
  • Your current total savings

Once you provide this information, the calculator will show the following details regarding your investment needs: 

  • Your targeted wealth amount (after adjusted as per inflation)
  • Growth of your savings amount
  • The number of years over which you should save
  • Final targeted amount after subtracting the grown savings 
  • Monthly investment needed to become a millionaire
  • The total amount of investment
  • The total amount of growth

How to Invest to Become a Crorepati?

After using the Crorepati calculator to determine the amount you need to invest monthly, you can use an SIP to invest the same amount in a mutual fund. Such a plan allows you to systematically invest the amount in the chosen fund scheme at fixed regular intervals. As a result, you can build a disciplined approach towards investing regularly that can help you achieve your goal faster. You can always use a systematic investment plan calculator to estimate the returns expected to earn from your investments. You can find all these online calculators on the official website of the asset management company from which you picked a mutual fund scheme. Such a company can give you the option to invest online in mutual funds. 

Once you start investing via SIP, you can enjoy two other major benefits as follows:

  • Rupee cost averaging

When prices of stocks fall considerably, an SIP allocates you more units. Conversely, when the stock prices shoot up, the plan allocates you fewer units. This is called rupee cost averaging as it averages out your savings. It helps you mitigate the risks of market inflation to protect your investments from market volatility. 

  • Power of compounding

If you invest through SIP over a long duration, you can generate high returns with the advantage of compounding. The plan reinvests the interest you earn. Therefore, you can earn added interest on that interest and the principal amount. This way, your returns can grow manifold over years. 

Since you aim at becoming a millionaire, you can boost your wealth accumulation with a step-up SIP plan. You can use the step-up systematic investment plan calculator to check the estimated returns. 

Go ahead and use the Crorepati Calculator today and start to invest online in mutual funds. Try to stay invested for the required duration to achieve your goal. 

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