How much should I invest in mutual funds every month?

Aim to invest at least 20–30% of your take-home income every month, then raise it as your income grows. The right number is a rate, not a fixed figure: someone earning ₹50,000 investing ₹12,000 is doing better than someone earning ₹2,00,000 investing ₹15,000. Start with a percentage you can sustain and step it up yearly.

Is ₹5,000 a month enough for a SIP?

Yes, ₹5,000 a month is a strong start — over 20 years at ~12% it can grow to roughly ₹50 lakh. What matters more than the starting amount is consistency and increasing the SIP each year as your salary rises.

What percentage of salary should go into SIP?

A healthy target is 20–30% of take-home pay into long-term investments, on top of an emergency fund and insurance. Early in your career, higher is better because that money has the most time to compound.

How Much Should I Invest in Mutual Funds Per Month? (2026)

By Bhrugu Thakkar · Real Value (ARN 24454) · August 2026 · 5 min read

Short answer: Invest at least 20–30% of your take-home income every month, then raise it yearly. The right amount is a rate, not a fixed number — and it's set by your goals, not your neighbour's SIP.

"How much should I invest?" has no single rupee answer. But it has a clear framework. Here's how to find your number in three steps.

Step 1: Protect before you grow

Before a single rupee goes into equity, two things come first: an emergency fund of 6 months' expenses (in an FD or liquid fund), and term insurance if anyone depends on your income. Skipping these is why people panic-sell their SIP at the worst time — a small shock forces them to break long-term money. Secure the base, then invest without fear.

Step 2: Start with a rate, not a number

A simple, honest split of take-home pay:

Bucket	Share of take-home
Needs (rent, bills, food)	~50%
Wants (lifestyle)	~20–30%
Invest (long-term SIP)	~20–30%

The person earning ₹50,000 who invests ₹12,000 is winning against the one earning ₹2,00,000 who invests ₹15,000. Rate beats size. Early in your career, push the invest bucket as high as you can bear — that money has the most years to compound.

Step 3: Let the goal set the amount

Work backwards from what you want, at ~12% long-term equity returns:

Goal	Monthly SIP	Roughly becomes
₹1 crore in 20 years	~₹10,000	₹1 crore
₹1 crore in 15 years	~₹20,000	₹1 crore
₹5 crore in 25 years	~₹26,000	₹5 crore

Notice the cost of waiting: the same ₹1 crore needs double the monthly SIP if you start 5 years late. Time does the heavy lifting, not the amount.

The move that matters most: step up

Your SIP should grow with your salary. A ₹10,000 SIP that rises 10% a year finishes far ahead of a flat ₹10,000 — often by 50% or more over two decades. The easiest wealth decision you can make is to raise your SIP every appraisal, before lifestyle absorbs the raise.

The honest verdict

Don't wait to find the "perfect" amount. Start at a sustainable 20–30% of income today, keep the emergency fund and insurance in place, and step the SIP up every year. Consistency and time beat the size of any single instalment.

Want your exact number?

Get a free, goal-based plan built around your income and goals.

Book a Free Review

Mutual fund investments are subject to market risks. Read all scheme related documents carefully. Educational content, not personalised advice. Real Value — AMFI Registered Mutual Fund Distributor, ARN 24454.