How To Invest While Paying EMIs (Without Losing Sleep Or Swiggy)

Who said adulting means choosing between EMIs and investments?

You are already juggling loan payments, rent, cab fares, and the occasional "I deserve this" food delivery. Add investing to that list? Sounds like a stretch, right?

But here is the twist. You do not need to cancel your weekend plans or sacrifice that midnight biryani to start building wealth. Retirement, financial freedom, and your dream gadgets can all co-exist if you make a few smart choices.

In this blog, we will show you how to invest while paying EMIs, even when they are eating into your salary faster than your Monday morning coffee. It is not about earning more, it is about making your money work smarter.

EMIs Are A Mood, But So Is Growth

Portfolio growth is a bigger FAD than EMIs. However, mental roadblocks are a bigger hurdle in investing with monthly EMIs than an actual financial crunch.

Why Do We Think EMIs And Investing Can’t Co-exist?

It is not SIP vs EMI, but SIP and EMI. The idea that we cannot have it all should only be restricted to junk food and not exist in the world of finance. However, there are various reasons why we think it is impossible to invest while repaying loans.

1. Wallet as empty as love life: If you think you do not have enough income to invest, you are not alone. According to a survey conducted by Funds India, one in three Indians believe that they do not have enough money to invest¹.

2. No savings: Sometimes, irrespective of a high income, you are unable to save because of your expenses and EMIs. According to a 2025 survey by Edelweiss Life Insurance and YouGov, over 50% of Indians within the 35 to 54-year age group believe they are unable to save enough².

Income and savings are still quantitative considerations. However, some intangible and unconscious phobias sneak up on you unexpectedly, like ghosts in the Conjuring series.

The Guilt Trap That Delays Wealth Creation

It is as if the guilt of missed gym sessions was not enough, that some regrets and fears hinder wealth creation. Understanding how to invest while paying EMIs is impossible without untangling this web of self-sabotage.

1. Risk on top of risk: The truth is, for people like us, EMIs are already scary. The question of what happens if we default haunts us as soon as we sign that loan paperwork. And, just like there is a place for only one monster under a bed, we avoid investment due to a fear of market risk.

2. Investing is not the girl next door: If you think investing is just another expense, it will seem unnecessary after taking a heavy loan. However, in reality, it is the main character that will determine how you live the rest of your life.

So, should we cancel all our plans, sell the things we bought on EMI, and uninstall Zomato and Swiggy? 

Absolutely not!

Rather, it is time to strive for a soft life and hit the low-effort slay mode for our portfolio.

Budgeting ? Sacrificing Everything You Love

Unlike your toxic partner, your portfolio does not demand every ounce of your energy. It simply requires some planning, patience and persistence. 

Let us explore some ideas related to budgeting for investing.

A Simple 50-30-20 Fix (minus the jargon)

The 50-30-20 rule of budgeting is simple but hits the right spot, like a good bowl of homemade Rasam Rice. This rule divides your total income after tax into three categories in a particular proportion. 

It states that 50% of your post-tax income should be used to fulfil your needs, while 30% can be used for wants. Moreover, the remaining 20% can be used for investing and paying loans.

Say, suppose your post-tax income is INR 50,000 and you have a monthly EMI of INR 15,000. If you use the 50-30-20 rule, your budget might look something like this.

Now, if you think INR 5,000 is not enough, let me show you what it can do.

The category average return of the mid-cap sector in 10 years is 16.22% as of 24 June 2025³. Therefore, assuming a return of 16.22%, if we invest in a mid-cap mutual fund through SIP, we can earn INR 15,00,965 in 10 years.

But what if your expenses are more, and saving 20% also seems unimaginable? Should you forget about EMI and investment balance?

Investing After Expenses? Yes.

Did you know butter chicken was invented when someone had to use cold leftover tandoori chicken? That is the power of leftovers.

Now, if after all your monthly expenses, you can save INR 1000 or INR 500, what is stopping you from investing them? The key to wealth creation is starting early, and it is not about starting big.

If you are wondering how to invest with EMIs, maybe the first step is starting small, investing what is left after all your expenses. Let us draw a simulation.

Imagine both A and B have mutual fund SIPs. A invests INR 7,000 per month and B invests INR 2,000 per month, but he increases his investment by 12% every year.

Let us see how their investment grows. Stick till the end for a surprise.

Notice how, after 35 years, B makes more than A. But even if B invests only INR 2,000 every month for 35 years, he can earn INR 1.29 crores. This is what a small amount investing can do.

You can either increase your savings and investment with time, or you can continue investing the same amount. Either way, you can end up earning way more than keeping the money idle in a savings account.

Small Amounts, Big Flex: Start Investing Anyway

While investing INR 20,000 or INR 30,000 is not possible without hitting 30 years of age, investing INR 1,000 is something we can start really early. Imagine not ordering popcorn and a cold drink on your next movie trip.

A large salted popcorn costs around INR 714, and a regular Pepsi costs INR 473 in a famous Delhi movie theatre. Now, suppose you make an SIP of INR 1,000 and continue it for 20 years⁴. Assuming a return of 12%, let us compare.

But are there only SIPs?

Of course not! Let us explore the different options for smart investing on a tight budget that does not require you to live the rest of your life on Maggi.

Best Ways To Invest On A Salary Budget

Listed below is a detailed breakdown of some of the top assets that can help you invest with low income. Some of them are fixed-income options for beginners who crave more stability.

1. High-yield Fixed Deposits: FDs offered by small finance banks and non-banking financial companies give high returns. The table below shows some of the top high-yield FDs on Grip.

2. Corporate Bonds: Grip Invest offers access to high-quality corporate bonds, helping investors earn regular yield along with potential capital gains. Through the Grip Marketplace, investors can also buy and sell bonds in the secondary market. This not only adds liquidity for sellers but also allows buyers to invest in bonds with shorter remaining maturities.

3. Baskets: You must have heard that diversification, which means distributing the investment corpus across various assets, is key. However, given the limited funds, how can we invest in more than one asset? It is like if you have only INR 500, you cannot have both a burger and a pizza. Right?

Wrong! Baskets on the Grip platform help you invest across various assets with a single investment. It is like getting a sundae for an ice cream. Take a look at one of the most prominent baskets on Grip.

4. Mutual funds through SIPs: Investors can invest in various mutual fund schemes across various categories like debt and equity. The minimum investment of systematic investment plans varies from one provider to another. However, it can start with INR 500⁵. 

The category average returns of various mutual funds in the last 10 years, along with their highest and lowest return, are given below.

Even INR 2,000 a month can add up. But How?

So what if we do not inherit generational wealth like Bruce Wayne (Batman), even with INR 2,000 a month, we can build wealth. Let us see some things we need to remember.

1. Stop ghosting: Unlike the WhatsApp texts from that one problematic uncle in the family group, whom you should ghost, your investment plan needs continuous commitment. Investing INR 2k this month and skipping for the next two months is like watering your plants today and skipping it for a month next.

2. Patience is a virtue: It is not some boomer moral to ignore. Patience is actually a virtue. The market is volatile. However, it soothes over time. Therefore, the best way to combat volatility is patience and periodic review.

3. You are not too young: There is a reason why parents gift us piggy banks when we are young. Investing early gives you the advantage of time. And sometimes in the world of finance, time can be money. Literally!

4. Compounding > Savings: Remember the compound interest sums in class 7? The truth is that only saving money is not enough. Money saved needs to go into an optimum investment medium to get the value of compounding.

We have had enough discussions on the benefits of investing early. But what happens if you do not?

Your Future Self Will Thank You (Seriously)

Have you ever noticed that negative emotions drive actions more than positive ones? It is like fear of failing helps us study better than the ambition of getting more marks. Now, let us apply that logic to finance and check what happens if we do not invest early.

1. Cost Of Delay In Investing (with simple math)

Imagine A and B both invest INR 3,000 per month in a mutual fund at a 12% return. However, A starts investing at 20 whereas B starts investing at 30. Moreover, they both continue their investment till they turn 50. Let us note where their investments stand after maturity.

Therefore, B had to pay INR 76,03,000 for a delay of 10 years. The word ‘pay’ used here is very important. Since a missed opportunity is a loss, too.

2. EMIs Are Temporary, Wealth Is Compounding.

Moreover, while compounding is for life, EMIs are for a season. Suppose you take a loan of INR 5,00,000 at 7% interest. Your loan must be repaid within 5 years. Therefore, your EMI comes up to INR 9,901. 

Moreover, you make an SIP of INR 3,000 per month. Assuming a return of 12%, here are some interesting takeaways.

So, not only can your SIP cover the entire loan amount of INR 5,94,036, you can still have INR 1,02,964 left, which might be enough for a small trip to Kasol.

Conclusion

Investing does not have to be hard. The key is to explore how to grow money on a budget. Therefore, from a weekend getaway and late-night Swiggy orders to retiring with a crore in your bank account, nothing is impossible if you start investing early and stay committed to your beloved portfolio.

And for once, let's imagine what if we could have it all.

Do not forget to explore Grip Invest today with a range of investment mediums that can get you up to a 14% return.

FAQs On How To Invest While Paying Your EMIs

1. Can I invest even if I'm paying multiple EMIs?

Yes, investing with EMIs is possible. It only requires optimum planning. If you have multiple EMIs, rather than sticking to any rule, you might try investing whatever is left after expenses. 

It might help you earn returns on idle savings. It is important to remember that the key to investing is consistency and not the quantity of investment.

2. How much should I ideally invest while managing debt?

Various rules can help manage finances. For instance, the 50-30-20 rule can be of help. According to this rule, 20% of your post-tax income should be dedicated to investment and EMI. 

So, for instance, if you earn INR 1 lakh and you have INR 10,000 EMI, you can invest INR 10,000 left in the 20% bracket after the EMI payment.

3. What are low-risk options to start investing small?

There are various fixed-income investment options available for investing. However, it is important to remember that almost all investment options have a degree of risk associated. 

Investments like bonds, money market mutual funds, etc., may provide regular returns. Optimum portfolio diversification is important to minimise risk.

References:

1. Funds India, accessed from: https://fundsindia.com/blog/personal-finance/not-enough-money-to-invest/12071

2. Business Standard, accessed from: https://www.business-standard.com/finance/personal-finance/over-50-individuals-feel-savings-not-enough-for-future-finds-study-125022200591_1.html

3. Morning Star, accessed from: https://www.morningstar.in/tools/mutual-fund-category-performance.aspx

4. Mutual Funds Sahi Hai, accessed fromhttps://www.mutualfundssahihai.com/en/sip-calculator

5. Economic Times, accessed from: https://economictimes.indiatimes.com/mutual-fund-screener/sip-starting-rs-500?from=mdr

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