How I ACTUALLY Spend My 1.05 Crore Salary in Bangalore

Finance-focused summary (markets/investing, budgeting, portfolio & tax)

Presenter

• Shashank Agarwal — high-frequency trader; mentions using probability and statistics for trading.

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Income & tax (explicit numbers)

• Annual salary: ₹1.05 crore (1 crore 5 lakhs)
• Base salary: ₹55 lakhs
• Variable bonus: ₹50 lakhs, paid once yearly in March
• No ESOPs/RSUs
• Gross monthly income: ₹8.75 lakhs
• Tax estimate: ~₹2.83 lakhs/month (implied from the monthly take-home context)
• EPF contribution: ₹3,600/month
• Professional tax: ₹200/month
• Post-tax take-home pay: ~₹5.87 lakhs/month

Surcharge & cess logic (India income-tax)

• Example given: salary tax 30%, plus 15% surcharge on the tax ⇒ total ~34.5%
• Mentions surcharge tiers:
  • 15% for ₹1–2 crore
  • ~10% between ₹50 lakhs and ₹1 crore
• Health & education cess: 4% on tax
• Note: marginal outcomes depend on the listener’s slab (conceptual explanation).

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Budgeting framework (spend split + key numbers)

Split into:

• Responsible spending
• Bonus spending

Responsible spending (monthly)

• Rent & maintenance: ₹32,000
• Utilities: ~₹2,500 (electricity included)
• Groceries: ₹6,000
• Whey protein (treated as “essential”): ₹4,500
• Domestic help: ₹5,000
• Mobile recharge: ₹250/month (derived from yearly cost)
• Health insurance: ₹1,500/month
• Family support: ~₹1,00,000/month (explicitly intentional)

EMI

• Hostel purchase: down payment ₹15 lakhs, loan ~₹30 lakhs, EMI ₹35,000/month

Transportation

• ~₹6,000/month
• Bike on weekdays; full tank every ~2 weeks costing ₹800–900

Total responsible spending: ₹1,92,750/month

Bonus spending (monthly)

• Food delivery: ~₹7,000/month
• Dining out: ~₹2,500/month
• Entertainment (stand-up/comedy/movies): ~₹1,000/month
• Subscriptions (Netflix/OTT/YouTube): ~₹1,000/month

Gadgets/electronics (some one-time)

• Insta360: ~₹52,000 (one-time purchase; included in this bucket)
• Garmin Enduro 3 watch: ~₹1 lakh (one-time; watch expense)

Grooming

• Haircuts: average ₹300–400/month (cut 2 times/month)

Clothing & footwear

• Running shoes: 3–4 pairs, each ₹17k–₹18k
• Averaged as stated: ~₹5,000/year average (including clothing)

Gym

• Aurum gym membership: ₹35,000/year ⇒ ~₹3,000/month

Sports equipment (triathlon setup)

• Carbon bike: ₹2,30,000
• Smart trainer: ₹70,000
• Total spent stated: ₹3.3–₹3.4 lakhs, averaged ~₹25,000/month

Adventure sports & travel

• Paragliding: ~₹1.5 lakhs/year ⇒ ~₹12,500/month (averaged)
• Bali trip last year (flying): included in averaging (as part of the adventure bucket)
• Travel averages:
  • Home flights 1–2 times/year
  • Parents visit flights once/year
  • ~1 international trip/year
• Travel average: ₹25,000/month

Total bonus spending: ₹94,800/month Total monthly spending: ₹2,87,550

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Investing / income allocation (methodology + assets)

Monthly investment plan (3 major buckets + smaller components)

• Mutual fund SIPs: ₹1,00,000/month
• Direct equities: ₹40,000/month
• EPF: ₹1,800/month (auto-deducted before salary credited)

No fixed deposits (FDs)

• Rationale: FD returns are treated like salary income for tax purposes, creating a higher tax impact.
• Instead prefers arbitrage funds:
  • Described as giving “same return as FDs”
  • Taxed as STCG/LTCG depending on holding period

Additional portfolio actions

• Cryptocurrency: not regular; only a lump sum ~2–3 years ago (no monthly breakdown provided)
• Gold
  • Uses digital gold / SGBs when available (SGBs mentioned as “were there, now closed”)
  • Also invests monthly in gold ETF
    • Gold ETF = “Gold Bees” (Nippon): ₹10,000/month
• Emergency fund contribution: stated as zero now (lump sum already present in savings)

Total monthly investing: ₹1,51,800/month

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Portfolio & net worth (current holdings with amounts)

• Net worth / total portfolio value: ₹1.11 crore

Breakdown

• Mutual funds: ~₹25 lakhs
• Equities (direct): ~₹15 lakhs
• EPFO/EPF balance: ~₹5.5 lakhs
• Fixed deposits: ₹0
• Real estate holdings: ~₹60 lakhs
  • Includes land + hostel purchased for parents
• Cryptocurrency: ~₹1.5 lakhs
• Cash in bank (savings account): ~₹4 lakhs

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Savings deployment (capital uses; not market returns)

Spent savings on:

• Bike: ~₹3 lakhs
• Study loan payoff: ~₹9 lakhs
• Personal loan payoff: ~₹8 lakhs
• Down payment for parents’ land gift: ₹15 lakhs
• Car gifted to parents (around 2024, mentioned as “2 years ago”, ~November; parents’ anniversary in December): ~₹24 lakhs

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Instruments / tickers mentioned

• Gold Bees (Nippon) — Gold ETF
• SGBs (Sovereign Gold Bonds) — mentioned historically as used
• Arbitrage funds — strategy choice (no specific ticker)
• Cryptocurrency — mentioned (no ticker)
• No specific equity tickers or indices named
• EPF/EPFO, mutual funds, direct equities, smart trainer, etc. (non-market instruments aside)

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Step-by-step / framework explicitly shared (investment & tax logic)

• Tax-aware product selection
  • Avoid FDs due to higher tax treatment in higher brackets
  • Use arbitrage funds to mimic FD-like returns with potentially more favorable capital-gains treatment (STCG/LTCG by holding period)
• Core monthly allocation
  • SIPs to mutual funds
  • Additional contribution to direct equities
  • EPF via payroll deduction
  • Monthly gold ETF (Gold Bees)
  • Emergency fund contribution at zero (already funded)

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Disclosures / disclaimers

• No explicit “not financial advice” disclaimer was included in the provided subtitles.

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Sources / presenter

• Shashank Agarwal