High-level numbers below

  • My Age: 36
  • % Saved for Early Retirement : 38%  34% (target % reduced due to 10.4% LTCG tax announced in the budget after this post was originally published. I’ll write a detailed article on this new tax’s impact next month)
  • Next year we are hoping to reach 50% 46% of our target. Fingers crossed!
  • I’ll update the progress bar on the right-hand sidebar every year with our progress
  • Current Monthly Saving rate : 25%
    • single-income household as mentioned in the NRI post.
    • this savings is from my business income
  • Effective Monthly Saving rate : 50%
    •  wife is moving her low-return F.Ds to mutual funds via SIP so we are effectively saving 50% of income in mutual funds towards retirement.
  • We currently have a 60:40 split between active Mutual Funds & inactive EPF/PPF.
    • more SIP in the coming years will tilt this balance towards equity
  • Our Total Portfolio Return is approximately 14%. Our Expected return is lower at 12%. 
    • Our Large-Cap fund returned 18% as of Dec 2017. We are taking this as indicative of our equity returns even though we have some mid-caps that performed better because only our large cap fund shows the XIRR 🙂 For accurate numbers we have to calculate manually and we haven’t done that yet.
    • Our PPF interest rate was 7.6% as of Dec 2017. Using this as indicative of debt returns. I’m deliberately using the lowest PPF rate since I’m approximating here.
    • So with a equity:debt ratio of 60:40, our total portfolio return is around 14%. (60×18% + 40×7.6%)
    • I’m sharing our returns only to document the numbers so we can look back many years from now on the ups-and-downs in returns. We are not really worried about the ups-and-downs as it will get smoothed out over the years like I explain in this post.


  1. If I have to invest incrementally every year, is it better to invest in EPF/NPS or in an equity MF SIP.

    My stats : Single income, 36, one kid 6 years. Monthly saving : 44%, no debt

    • Thanks pravinsn1! Yes! a lot of articles on early retirement are all for U.S folks. I want to record my breakthroughs in early retirement as I accomplish it in India 🙂 Good luck on your journey! Do subscribe to the blog via email for more insights as I post them

    • Thanks himani! We plan to document our journey so others might feel inspired. The idea is to hit & solve problems that others might face after us. Welcome to SavingHabit!

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