The cost of living in is often debated on social media. While some share their impressive hacks to ensure maximum savings in the city, a few leave netizens shocked with their monthly expenses. The question remains — How much salary is enough to live in Bengaluru?
₹70 lakh per annum enough in Bengaluru?
To answer the most frequently asked question, social media influencer and author,, stepped up with a salary breakup from a Reddit post.
LiveMint has not seen this Reddit post, it is reporting Warikoo’s take on it.
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How much is the in-hand salary for someone earning ₹70 LPA in Bengaluru?⌵
An individual earning ₹70 lakh per annum in Bengaluru has an in-hand salary of approximately ₹4.1 lakh per month after taxes. This is calculated from a gross monthly income of about ₹5.8 lakh before taxes.
What are the major monthly expenses for a ₹70 LPA earner in Bengaluru?⌵
Major monthly expenses include a home EMI of ₹1,70,000 and a car EMI of ₹65,000. Additionally, international school fees for children cost ₹50,000, and domestic help amounts to ₹15,000.
Can a person earning ₹70 LPA have zero savings in Bengaluru?⌵
Yes, it is possible to have zero savings despite earning ₹70 LPA in Bengaluru if monthly expenses like EMIs, school fees, and other living costs exceed the in-hand salary. This was highlighted in a viral salary breakup where the individual was left with ₹1 lakh after major expenses.
How does the 50/30/20 rule apply to managing a monthly salary?⌵
The 50/30/20 rule suggests allocating 50% of after-tax income to essential expenses (rent, EMIs, insurance), 30% to lifestyle spending (dining, shopping, travel), and 20% to savings and investments (SIPs, emergency funds).
What are the recommended limits for rent and EMI payments based on monthly income?⌵
Financial planners generally advise keeping rent and housing costs within 25% to 30% of your take-home salary. Total EMI obligations should ideally stay within 30% to 40% of your monthly income.
Warikoo talked about a viral post which claimed how an individual from Bengaluru is left with no savings despite earning ₹70 lakh per annum.
“I was reading on Reddit that this is actually the breakup of somebody in Bengaluru who earns ₹70 lakh per year,” Ankur Warikoo said.
The salary breakup
The person earns around ₹5.8 lakh monthly before taxes, which comes to an in-hand salary of ₹4.1 lakh per month.
Warikoo claimed that the salaried person pays about ₹20 lakh per year in taxes.
” ₹50 lakh left, which is about ₹4.10 lakh per month (in-hand),” he added. Going by the same calculation, the individual is left with zero savings at the end of the month.
So, what do his monthly expenses look like?
A big chunk from the user’s salary goes for home EMI, costing ₹1,70,000. He also pays an EMI of ₹65,000 for his car. Considering other non-negotiable expenses like international school fees for the kids ( ₹50,000) and domestic help ( ₹15,000), the person is left with ₹1 lakh to spend the rest of the month.
No savings
“Only ₹1 lakh left,” remarked Warikoo.
Other expenses that add up include ₹30,000 allocated for groceries, ₹15,000 set aside as a vacation fund, and another ₹25,000 spent on fuel and utility bills. Additionally, around ₹15,000 goes towards medical needs, shopping, and dining out.
“No savings by the end of the month,” Warikoo said, adding, “Now this is middle class to say. But if you ask me, this person is a fool.”
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His caption also reads: “Someone earns 70 lakhs/year staying in Bangalore. You would expect them to have considerable savings – but is that the reality?”
Netizens react
The post has gained mixed reactions from the internet. A user wrote, “He is paying for assets. He is also going for vacation and enjoying life. After 20 years he will be owning those assets completely. And also in these 20 years he enjoyed the vacations while we are busy doing sip The person in this context is clearly the winner (sic).”
“Only one asset will appreciate (if at the right location) that is house. Car will depreciate. And other than that no savings or insurance. Not sure if he has any passive income. But this looks dangerously cut to cut (sic),” added another.
Someone else commented, “A person earning 70 lacks per month is not a middle class sir (sic).”
(Disclaimer: This report is based on user-generated content from social media. Live Mint did not independently verify the claims and does not endorse them.)