Lesson 1 of 6 · Why starting early wins · 4 min read · Reviewed 15 Oct 2026
Returns earn their own returns, so time matters more than the amount. ₹10,000 a month from age 25 to 35, then left invested, grows to about ₹4.6 crore by 60 at 12% a year. The same SIP from 35 to 60 reaches about ₹1.9 crore, even though it puts in ₹30 lakh instead of ₹12 lakh.
When your investments earn returns, those returns start earning too. Over a few years the effect is small. Over twenty or thirty years it does most of the work.
That makes time the biggest number in the calculation. Someone who invests for ten years in their twenties and then stops can end up with more than someone who invests for twenty-five years from their mid-thirties.
Key idea: A SIP (systematic investment plan) invests a fixed amount in a mutual fund every month.
Try the calculator and the one-question quiz on this page to check your own numbers.
A systematic investment plan invests a fixed amount in a mutual fund on the same date every month, usually by auto-debit from your bank account.
This lesson uses 12% a year as an example for equity funds. Equity returns are not guaranteed and can be negative in any single year.
No. Starting at 40 still gives twenty years of growth until 60. You may need a larger monthly amount to reach the same target.
For learning only, not investment advice. Designed and built by people who have worked at India’s leading wealth management firms.