Kaun Banega Crorepati? You, With The Right Plan!

For decades, Kaun Banega Crorepati (KBC) has captivated audiences with the allure of winning crores by answering challenging questions. But let’s flip the script. What if the real question isn’t 'Who wants to be a crorepati?' but 'How do you plan to become one?' Spoiler: You don’t need a hot seat, just a solid financial strategy.

Much like the game show, wealth-building begins with modest wins that pave the way for big victories. Shalini Sekhri, Chief Growth Officer at Renaissance Investment Managers advises, "The key to building wealth is consistency. Start with what you can manage, even if it’s a small amount. The real power lies in staying consistent with your investments over time."

Waiting for a larger income often means losing precious years of growth. The power of starting early with small investments can’t be overstated. Investing Rs 5,000 per month in equity mutual funds, assuming a 12% annual return, can snowball into Rs 1 crore in 25 years, according to a 2024 AMFI report. If these contributions increase by just 10% each year, the goal can be achieved even faster.

In KBC, lifelines like Ask the Expert or 50:50 save the day. In wealth creation, SIPs (Systematic Investment Plans) act as an automated lifeline, ensuring discipline. They eliminate the stress of market timing and instill consistency. A 2024 SEBI survey found that 60% of Indian investors credited SIPs for weathering market volatility without compromising their goals.

Sekhri explains that "SIPs are one of the most effective ways to build wealth. They help you avoid the temptation of timing the market and ensure you are consistently investing, regardless of market conditions." For added efficiency, step-up SIPs allow you to increase contributions annually in line with salary increments.

"Aim to save a fixed percentage of your monthly income, ideally 20%, but don’t forget to account for your lifestyle and goals. Flexibility is key—some months you might save more, other months less," says Sekhri. On KBC, a wrong answer can end the game. Similarly, in personal finance, success depends on tackling the right questions. For instance, "How much should you save each month?" isn’t as simple as picking 10% or 20% of your income—it requires factoring in inflation, future goals, and current liabilities. A 2024 study by the Indian Institute of Personal Finance revealed that households saving 20-30% of their monthly income were more likely to reach their long-term goals.

Sekhri emphasizes on rules that one can follow while assessing risk, like the Rule of 100. "Taking risks is part of investing, but it should always be calculated. Make sure to assess your financial capacity and invest according to your risk tolerance."

A single misstep on KBC can undo years of preparation, and the same applies to financial planning. High-interest debt, lack of an emergency fund, and chasing risky investments are common pitfalls.

According to the 2024 India Savings Behavior Report, 40% of millennials underestimated inflation’s impact, reducing their purchasing power by nearly 40% over 20 years. Sekhri emphasizes on diversifying investments to mitigate the effects of inflation, and added that investing in assets that provide inflation-beating returns, like equities or real estate, can help safeguard your wealth.

KBC contestants rely on tools and lifelines to maximize their winnings. Similarly, financial instruments like ELSS (Equity Linked Savings Scheme), PPF (Public Provident Fund), and tax-saving fixed deposits can optimize your savings while reducing tax liability. A 2024 Tax Insights survey found that only 50% of eligible taxpayers in India fully utilized their Section 80C deductions, missing out on Rs 1.5 lakh in annual benefits.

In KBC, contestants pause to evaluate strategies as the stakes increase. Similarly, regular financial check-ins help keep your plans aligned with changing life circumstances. Whether it’s a job change, marriage, or an unexpected expense, adapting your plan ensures you stay on track. A 2024 survey by Morningstar showed that portfolios reviewed annually performed 15% better than those left unattended for years.

Sekhri advises a proactive effort in monitoring your portfolio. "Life events like a salary hike, marriage, or starting a family could change your financial goals and risk tolerance. Adjust your investments accordingly to stay on track."

While not everyone will get the chance to sit opposite Amitabh Bachchan, everyone has the tools to chart their journey to Rs 1 crore. SIPs are your automatic lifeline, early investments your buzzer, and financial discipline your answer key.

The only question left to ask is Kaun Banega Crorepati? And with the right plan, the answer is, you.