When it comes to building real, lasting wealth, the journey might seem overwhelming—especially with all the financial jargon out there. From stock market trends to complicated investing formulas, it’s easy to feel lost before you even begin. But becoming a crorepati (₹1 crore net worth and beyond) doesn’t require an MBA in finance or mastering complex equations. In fact, there are just four simple numbers. Focus on these four numbers to become a crorepati. That’s right—four. They’re easy to track, simple to understand, and incredibly powerful when it comes to shaping your financial future. Whether you’re starting from scratch or already on your way, keeping a close eye on these metrics can dramatically change the course of your wealth-building journey.

Personally, I’ve used these four numbers as my financial compass. I know them like the back of my hand, and they’ve guided every major financial decision I’ve made. Today, I’m going to share them with you—because if you can master these four areas, I genuinely believe you’ll be well on your way to hitting crorepati status sooner than you think.

And even if you’ve already crossed that milestone, don’t tune out just yet. These numbers aren’t just about getting rich—they help ensure you stay rich. Tracking them consistently will help you maintain and grow your wealth for the long term. So let’s dive in—and get ready to transform the way you think about your money.

1. Your Savings Rate

The first number you need to get familiar with on your journey to becoming a crorepati is your savings rate. Simply put, it’s the percentage of your take-home income that you consistently put aside. Ideally, you should aim to save at least 20% or 30% of your net salary. That might sound like a lot at first, but trust me, it’s one of the most powerful habits you can build.

A high savings rate does more than just build your bank account—it builds discipline. It forces you to live below your means, a trait almost all self-made millionaires have in common. Even after becoming wealthy, they keep their spending in check and continue saving.

Saving vs. Investing

Here’s the reality: while India has one of the highest household savings rates in the world, a large part of it still goes into gold, fixed deposits, or even just sitting idle in a bank account. These are safe but low-growth avenues. If you really want to build wealth, your goal should be to save and channel your savings into growth-oriented assets like equity mutual funds, index funds, or NPS. That’s what puts you firmly on the crorepati track. The higher your savings rate and the smarter your investments, the faster you’ll get there.

A common question is: “How should I divide up that 30% savings? How much should go into investments vs. savings?”

Think of it in three buckets:

• Emergency Fund (3–6 months of expenses, kept in a liquid fund or savings account)
• Investments (equity mutual funds, index funds, PPF, NPS, etc.)
• Short-Term Goals (vacations, gadgets, weddings, down payment for a car, etc.)

Example: Suppose your monthly take-home is ₹1,00,000. You set aside ₹30,000 (30%). At first, that goes to building your emergency fund. Once that’s ready, you might allocate ₹20,000 to investments and ₹10,000 for short-term goals.

Let’s say you’re planning a wedding in two years—you can temporarily increase short-term savings to ₹15,000 and reduce long-term investments to ₹15,000. Once the wedding is done, reallocate back to wealth creation. The key? Stay consistent with the overall savings rate.

2. Fixed Expenses

The second crucial number: your fixed expenses. These are the unavoidable monthly costs—rent/EMI, car loan, insurance premiums, utility bills, subscriptions, and so on.

Ideally, fixed expenses should not exceed 50% of your take-home pay. If they creep up to 60%, it’s still manageable. But once they cross 65–70%, you’re in the danger zone—because there’s hardly any room left for saving or investing.

In India, the biggest expenses are usually housing, food, and EMI. You can save money by moving to a slightly cheaper house, planning meals and buying groceries smartly, and cutting down on high car EMIs by using a smaller vehicle or public transport. Even small changes—like reducing rent by a few thousand, cooking more at home, or using the metro twice a week—can free up money that, if invested, grows into lakhs over time.

When it comes to loans and EMIs, it’s best to keep them under control. A safe range is when your total EMIs—whether for home, car, or personal loans—are no more than 30–35% of your monthly take-home income.

3. Discretionary Spending

Next comes discretionary spending—the flexible part of your budget. Think of dining out, shopping, weekend trips, gadgets, or entertainment subscriptions. The math is simple: whatever’s left after savings and fixed expenses is your discretionary budget. Ideally, keep this around 20% of your income.

For example, if you earn ₹1,00,000/month, save ₹30,000 (30%), spend ₹50,000 on fixed expenses, and the remaining ₹20,000 is your discretionary budget.

The key is to spend intentionally. Before swiping your card or clicking Buy Now, ask: “Does this bring joy or real value to my life?” If yes, go ahead. If not, skip it. Say you love travelling—redirect more of your discretionary budget there instead of impulse-shopping on Amazon. That way, you spend on experiences that create memories instead of things that lose value quickly.

Most Indian crorepatis don’t spend lavishly on luxury items every month. They’re thoughtful—splurging occasionally, but mostly aligning spending with long-term goals and values. That mindset shift makes all the difference.

4. Net Worth

Finally, the big one: your net worth. Your net worth is simply:

Net Worth = Assets – Liabilities

• Assets: house, investments (mutual funds, stocks, PPF, EPF, gold), savings accounts
• Liabilities: home loan, car loan, personal loan, credit card debt

Example:

• Flat worth ₹75,00,000
• Investments + savings worth ₹10,00,000
• Home loan outstanding: ₹40,00,000
• Car loan: ₹5,00,000

Net Worth = (₹75L + ₹10L) – (₹40L + ₹5L) = ₹40,00,000

I recommend checking your net worth at least every 6 months. Monthly tracking is okay if you’re disciplined, but since stock markets (and even property prices) fluctuate, quarterly or half-yearly reviews give a clearer picture. It keeps you motivated, focused, and grounded. You’ll stop treating wealth as some vague dream and start seeing real progress on paper.

Final Word

Becoming a crorepati isn’t about chasing the next stock tip, crypto hype, or lottery ticket. It’s about focusing on these four numbers:

1. Savings Rate – consistently 20% or more
2. Fixed Expenses – keep them under control
3. Discretionary Spending – intentional, not impulsive
4. Net Worth – track it and grow it

Start today. Track these numbers, and over the next few years, you’ll not only build wealth but also develop the habits and discipline that define true financial freedom also you won’t just be working towards becoming a crorepati—you’ll already be thinking and acting like one.

Frequently Asked Questions (FAQs)

1. How much should I save every month to become a crorepati?
Aim to save at least 20% of your take-home salary. If you consistently invest this amount in growth assets like mutual funds or index funds, compounding can help you reach ₹1 crore faster.

2. What is the ideal EMI I can afford?
Your total EMIs (home, car, education, or personal loans) should not exceed 30–35% of your monthly income. This keeps your finances balanced and prevents debt stress.

3. How do I calculate my savings rate?
Savings Rate = (Total Savings ÷ Take-Home Income) × 100.
For example, if your monthly income is ₹1,00,000 and you save ₹20,000, your savings rate is 20%.

4. What counts as fixed expenses in India?
Fixed expenses usually include housing (rent/EMI), food & monthly provisions, transportation, and EMIs/loans. Keeping these under 50% of your income gives you more room to save and invest.

5. How much discretionary spending is okay?
Try to limit discretionary spending (shopping, eating out, OTT subscriptions, trips) to around 30% of your monthly income. This way you enjoy life while still growing wealth.

6. How often should I track my net worth?
Checking your net worth every 6 months is a good balance. It keeps you aware of your progress without being distracted by short-term market ups and downs.

7. What if I can’t save 20% right now?
Start small—even 5–10% savings is better than nothing. Once you build the habit, gradually increase your savings rate as your income grows or expenses reduce.

8. What is the fastest way to increase my savings rate?
Focus on the big expenses: reduce rent, cut down on EMIs, plan groceries better, and use public transport. Small lifestyle tweaks in these areas can free up thousands every month.

9. Should I focus more on saving or investing?
Both are important. Start with building an emergency fund (3–6 months of expenses). After that, channel most of your savings into investments like mutual funds, PPF, or NPS for long-term growth.

10. Can I become a crorepati only with a salary?
Yes, absolutely. With disciplined saving, controlled expenses, and smart investing, even a salaried person can build wealth. Many self-made crorepatis in India have done it without inheritance or windfalls.