To save ₹5 lakh in 2 years (24 months), you need a structured savings and investment plan. Here’s how you can achieve it:
1. Monthly Savings Required
-
₹5,00,000 ÷ 24 months = ₹20,833 per month
-
If you invest in interest-earning options, you can save slightly less per month due to returns.
2. Best Ways to Save & Invest
Option 1: High-Interest Fixed Deposits (FDs)
-
Interest Rate: ~7% per annum
-
Monthly Investment Needed: ~₹19,500
-
Final Amount (After 2 Years): ~₹5,00,000
Option 2: Recurring Deposit (RD)
-
Interest Rate: ~6.5% per annum
-
Monthly Investment Needed: ~₹19,700
-
Final Amount: ~₹5,00,000
Option 3: Debt Mutual Funds (Low-Risk Investment)
-
Expected Returns: ~7%-9% per annum
-
Monthly Investment Needed (SIP): ~₹18,500
-
Final Amount: ₹5,00,000+
Option 4: Hybrid Mutual Funds (Moderate Risk)
-
Expected Returns: ~10%-12% per annum
-
Monthly SIP Required: ~₹18,000
-
Final Amount: ₹5,00,000+
Option 5: Saving Aggressively in Bank Account
-
If you don’t want to invest, you need to save ₹20,833 per month in a bank account.
-
No interest or growth, but fully risk-free.
3. Bonus: Additional Tips to Save ₹5 Lakh Faster
✅ Cut Unnecessary Expenses: Reduce luxury spending & impulse purchases.
✅ Increase Income Sources: Freelancing, side gigs, or passive income streams.
✅ Automate Savings: Set up an auto-debit for SIPs, RDs, or FDs.
✅ Use Windfalls Wisely: Bonuses, tax refunds, or gifts can accelerate savings.