SIP calculation: If you dream of becoming a millionaire in the future, SIP could be the best option for you. By investing small amounts every month in SIP, you can build a large fund. SIP can yield an average return of 12 to 15 percent. All you need to do is follow the "7+12+25" formula—that is, invest ₹7,000 every month for 25 years and earn a 12% annual return, which can create a fund worth crores of rupees.

If you too want to build a large fund from your small savings, then the SIP formula of 7+12+25 is no less than a boon for you. According to this formula, if you invest ₹7,000 every month in a SIP and earn an average annual return of 12%, you can accumulate a corpus of approximately ₹1 crore in 25 years. This method is based on safe and systematic investment planning, which helps you grow your wealth rapidly over the long term.

₹1 crore may sound like a huge sum, but in today's times, it has become a necessary and realistic goal. Children's higher education, a secure life after retirement, the dream of owning a home, or future financial stability—all require a strong fund. If you start a disciplined investment strategy like SIP now, it's absolutely possible to build a corpus worth crores in the next 20-25 years. With proper planning and regular investment, dreams can become reality.

This formula is based on three magical numbers: 7 + 12 + 25. This includes ₹7,000 as your monthly SIP amount, 12% as your expected annual return, and a 25-year investment period. When you continue investing with discipline for this long, the magic of compounding kicks in. This means you earn on your earnings. This "power of compounding" gradually turns you into a millionaire. Time, patience, and regular investment are the key strengths of this formula.

If you follow this SIP formula of 7+12+25, the results can be astonishing. For example, if you invest ₹7,000 every month, your total investment amount will be ₹21 lakh in 25 years (₹7,000 x 12 x 25). Now, assuming you earn an average annual return of 12%, this amount will grow to approximately ₹98.2 lakh through compounding. This means that after 25 years, you will have a substantial corpus of ₹1.2 crore at maturity. This is the true power of SIPs, which can turn small investments into crores.

It's entirely possible to earn an average annual return of 12% from equity mutual funds over the long term. However, this return is not guaranteed as it depends on the fluctuations in the stock market. Therefore, always consider the fund's past performance, risk level, and your investment planning before investing. Wise decisions and regular investments can help you build a strong corpus over the long term.

Building a corpus of ₹1 crore or more is a significant achievement for anyone, but the '7+12+25' SIP formula can make it a reality. All you need is discipline, patience, and regular investment. If you start today, the magic of compounding can multiply your money over the next 25 years. So don't delay – consult your financial advisor and start your journey to becoming a millionaire today.

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