So, you’re making ₹1.5 lakh per month — that’s a great income by Indian standards. Whether you’re single, married, or supporting a family, managing this money wisely can help you build wealth, reduce stress, and secure your future. Here’s a simple guide to help you get started.
1. Start With a Budget – Know Where Your Money Goes
Before investing or saving, track your expenses. Break your income into categories:
- Needs (50%) – Rent, groceries, utility bills, EMIs.
- Wants (30%) – Eating out, subscriptions, shopping.
- Savings/Investments (20%) – Mutual funds, emergency fund, insurance, etc.
Tip: Use budgeting apps like Walnut, Moneyfy, or even a Google Sheet to track everything.
2. Build an Emergency Fund
Save at least 3-6 months’ worth of expenses in a liquid fund or a high-interest savings account. For example, if your monthly spending is ₹60,000, aim for ₹1.8L–₹3.6L in your emergency kitty.
3. Clear High-Interest Debt First
If you have credit card dues or personal loans, prioritize clearing them. These are financial leaks that can drain your income without you realizing it.
4. Invest Smartly – Let Your Money Work for You
At ₹1.5LPM, you should aim to invest at least ₹30,000–₹40,000/month. Here’s a basic plan:
- Mutual Funds (via SIPs): ₹15,000–₹20,000
- PF/PPF/NPS: ₹5,000–₹10,000
- Stocks (if experienced): ₹5,000–₹10,000
- Gold or REITs: ₹2,000–₹5,000
Start with low-cost index funds if you’re new to investing.
5. Insurance – Don’t Ignore It
- Term Insurance: A must-have, especially if you have dependents.
- Health Insurance: Even if your company offers one, get personal coverage too (₹5L+).
6. Plan for Big Goals Early
- Buying a home? Start a goal-based SIP.
- Wedding or child’s education? Estimate the cost and start a dedicated fund.
- Retirement? It’s never too early. NPS or long-term equity funds can help.
7. Enjoy – But Mindfully
You’re earning well, and it’s okay to treat yourself. Just don’t let lifestyle inflation take over. Keep upgrading your savings and investments along with your income.
Example Breakdown: ₹1.5 LPM Plan
| Category | Amount (₹) |
|---|---|
| Rent + Utilities | ₹30,000 |
| Groceries & Daily Use | ₹10,000 |
| Travel & Fuel | ₹5,000 |
| Personal + Entertainment | ₹15,000 |
| Savings + Investments | ₹40,000 |
| Insurance | ₹5,000 |
| Emergency Fund/Goals | ₹10,000 |
| Miscellaneous Buffer | ₹5,000 |
| Leftover? | Use it to pre-pay loans or boost investments |
Final Thoughts
Managing personal finance is not about being super strict — it’s about being aware and intentional. With ₹1.5 lakh coming in every month, you’re already ahead of the curve. Make the most of it, and your future self will thank you!
Want to Manage Your Salary Smarter?
Try our free, easy-to-use Smart Salary Management Calculator to see exactly how to split your income based on your lifestyle and needs.