How to Become Crorepati: With this formula you will earn Rs 73 lakh from interest only in 15 years..

How to Become Crorepati: Earning money is easy, but increasing it is equally difficult. Managing money is not easy. Many times it is difficult to understand where to start. In such a situation, the rule of 15*15*15 is very useful. This is a great way to grow your money. This rule divides your money into three parts. Investment, tenure, interest. Meaning 15 thousand, for 15 years, at 15% interest. If you follow this formula you can become a millionaire. The formula of compounding works behind this. The simple formula of power of compounding is that the investment should be for the long term.

Power of compounding-
- Interest on original investment
- Benefit of interest again on both amounts
- Investment+Interest+Interest+Interest=Compounding

Apply the 15x15x15 formula and make money. Investment - Rs 15,000
- Duration – 15 years
- Interest - 15 percent
Corpus – Rs 1 crore after 15 years
- Total investment - Rs 27 lakh
- Compounding - 73 lakh interest earnings

Will have to invest for 20 years-
If you do monthly SIP with Mutual Fund. Start it with Rs 10 thousand. Generally, returns in mutual funds can be up to 12 percent. Here you will have to invest up to Rs.20. Your total investment in 20 years will be Rs 24 lakh. But, the interest received on this will be Rs 74.93 thousand. Meaning, the power of compounding worked here. The total value of SIP will reach Rs 98.93 lakh. You earned only interest of Rs 74.93 lakh.

What is the power of compounding?
It can be understood that whatever you earn by investing somewhere, reinvesting it again is compounding. In this, you get interest on the principal amount as well as its interest. Compounding is a great way to increase your investment.
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