Double Your Investment: How long will it take for Rs 50,00,000 to turn to Rs 1,00,00,000 and Rs 2,00,00,000?
Wondering how long it’ll take to double your Rs 5,0,00,000 or Rs 1,00,00,000 investment? Learn how the Rule of 72 helps you plan smarter, faster and better.
The Rule of 72: If you're aiming to to turn Rs 50,00,000 into Rs 1,00,00,000—or even Rs 2,00,00,000—understanding the Rule of 72 is a game changer. This simple yet powerful formula helps you estimate how long your investment will take to double, whether you are looking forward to invest in mutual funds, fixed deposits or in stock market. With rising inflation and changing returns, it’s crucial to make informed decisions. Here’s how this time-tested rule makes financial planning clearer, smarter and more strategic for Indian investors.
Heard of the Rule of 72? It’s a Smart Investor’s Shortcut
If you’ve ever wondered how long it’ll take for your investment to double, the Rule of 72 has the answer. Just divide 72 by your expected rate of return, and you’ll get a quick estimate. It’s that easy — and surprisingly accurate for steady returns.
The Math Behind It Is Super Simple
Here’s how it works:
Time (in years) = 72 ÷ Annual Return Rate
For example, if your returns are 8% per year, your money doubles in around 9 years. No calculators or fancy formulas needed.
How long will it take for your Rs 50,00,000 investment to become Rs 1,00,00,000?
- At 12% return rate your Rs 50,00,000 investment will take 6 years to become Rs 1,00,00,000
- At 8% return rate your Rs 50,00,000 investment will take 9 years to become Rs 1,00,00,000
- At 6% return rate your Rs 50,00,000 investment will take 12 years to become Rs 1,00,00,000
How long will it take for your Rs 1,00,00,000 investment to become Rs 2,00,00,000?
Again the same concept:
- At 12% return rate your Rs 1,00,00,000 investment will take 6 years to become Rs 2,00,00,000
- At 8% return rate your Rs 1,00,00,000 investment will take 9 years to become Rs 2,00,00,000
- At 6% return rate your Rs 1,00,00,000 investment will take 12 years to become Rs 2,00,00,000
Why the Rule of 72 just works
It saves time and simplifies decision-making. You can quickly compare different investment options, plan better, and stay on track. Especially useful when you're juggling between FDs, equity, or SIPs.
Inflation Alert: Your money can shrink too
The Rule of 72 isn’t just for growth — it also shows how inflation eats into your savings. If inflation is 6%, your money’s value will halve in 12 years. Knowing this helps you plan smarter.
Where it works best – not just for the Stock Market
It’s ideal for:
- Mutual funds with consistent returns
- Fixed deposits or guaranteed-return schemes
- Long-term investment planning
It gives a good estimate when returns stay somewhere between 6% and 10%.
A quick reality check – It’s not foolproof
Like any shortcut, it has its limits. It’s less accurate for very high or very low return rates, or investments that are volatile. So use it as a guide, not gospel.
Financial planners love this rule
From beginners to seasoned investors, everyone uses this rule to track goals, compare plans, and explain concepts. It’s especially handy when you want to avoid guesswork.
Why every Indian investor should know the Rule of 72
Whether you’re aiming for Rs 1 crore or Rs 2 crore, or just trying to beat inflation, this rule gives you a clear sense of direction. It helps you plan better, grow smarter, and make the most of your hard-earned money.