What is Financial Freedom?
Financial freedom is the point where your passive income (money earned from investments) is sufficient to cover your living expenses. At this stage, you no longer *have* to work for money; you work only if you choose to.
The SIP Break Even Calculator helps you find that magic number: How many years of disciplined SIP investing does it take to build a corpus large enough to support your lifestyle?
The 4% Rule vs 6% Rule
Traditionally, financial planners use the 4% rule (withdraw 4% of corpus annually). In a high-growth economy like India, a withdrawal rate of 6% is often considered sustainable from a well-balanced mutual fund portfolio.
This calculator estimates the "Break Even" point where 6% annual returns from your accumulated corpus equal your current monthly expenses.