Make Extra Income Every Month With These Tips

Extra Income Formula: People with salary often face financial problems. There is a big reason for this that they never get big money all at once.

In such a situation, they often use loans and credit cards and pay interest. Then sometime in the month, if any need arises, they are not able to fulfill it, because they have to wait for the salary for the whole month.

But what if you get the same amount every month as per your salary? You may find this funny, but it is true. Learn further how.

Secondary Income

You can get income equal to the salary every month. There is a trick behind this. If you do a private job, then you can take advantage of this trick.

If your salary is 30 thousand rupees, then first know that you can get this much income every month. Talk about the formula behind it, investment in it is very important.

Your salary is 30 thousand rupees. Out of this, you have to invest 30% of the money every month.

How to Invest

30 thousand rupees is 30 percent which is 9000 rupees. You will have to invest this money in mutual funds through Systematic Investment Plan (SIP).

You can get better returns from here. The SIP calculator tells that if you invest Rs 9000 in SIP every month, you will be able to add around Rs 25,07,915 in 10 years. It has been estimated on the basis of 15 percent return.

Rs 8 Lakh Investment

By investing Rs 9000 every month through SIP, your investment amount for 5 years will be Rs 5.40 lakh, while the return will be Rs 2.67 lakh.

Means a fund of Rs 8.07 lakh is ready in 5 years. In 10 years, your investment amount will be Rs 10.80 lakh at the rate of Rs 9 thousand per month.

The returns on this would be Rs 14.27 lakh. Means a fund of Rs 25.07 lakh is ready in 10 years.

What to Do to Increase Salary

If your salary increases by 10% annually, your salary will more than double in 8 years. Similarly, your SIP amount will also increase to Rs 18,000.

Now you must have got an idea that by saving 30% of your salary, how much money you can accumulate in 10 years.

Earning Will Start After 10 Years

Now invest the total deposited money in the debt option, so that you can get regular income.

Also, invest the extra money in small amounts over a long period of time, so that a bigger fund is created on the other side.

Even after making Rs 25 lakh from 30% salary in 10 years, you keep investing some part of your salary. Then you can invest in gold bonds, real estate and short term funds.

If you take the average, then in 25 years you can get as much return as you will get from your salary in 25 years. You will start getting some money in this as regular income only after 10 years.