12 LPA is the package where SIP finally feels possible — and lifestyle inflation kills it fastest. On our FY 2025-26 model, fixed-heavy 12 LPA lands about ₹88k/month in-hand under the new regime — not ₹1 lakh (CTC ÷ 12). After rent at 30–35%, you still have headroom for ₹12–25k SIP if you automate on payday.
Suggested SIP on ~₹88k in-hand (12 LPA)
| Style | Monthly SIP | When it fits |
|---|---|---|
| Starter | ₹5–8k | High rent or clearing debt — still better than ₹0 |
| Base | ₹12–16k | Rent ≤35% of in-hand, metro with roommate |
| Aggressive | ₹18–25k | Tier-2 or living with family — step up on raises |
SIP math on 12 LPA in-hand
Do not SIP on CTC ÷ 12. Run fixed pay through a take-home calculator, subtract rent and essentials, then target 15–20% of in-hand for equity SIP. At ₹88k in-hand, that is roughly ₹13–18k/month — enough to build serious corpus over 15–18 years at long-run equity returns if you step up on raises.
- Fixed-heavy 12 LPA metro in-hand: ~₹88k/month after PF and tax (new regime model).
- Conservative SIP: ₹10–15k/month if rent is controlled.
- Aggressive SIP: ₹18–25k/month if you live with roommates or in Tier-2.
- Start with ₹5k if you must — zero SIP while waiting for the perfect amount is the real trap.
The takeaway
Automate SIP the same day salary hits. The month you upgrade rent or phone EMI before investing is when 12 LPA stops compounding.