I am a regular middle-class law graduate (2023) who has secured a 12 LPA job. No generational wealth or other sources of income. Realistically speaking, will I ever be able to buy a 5cr+ house if I continue on this law firm trajectory? I am willing to put in the effort, but unsure if it is in the right direction. Do I generate other sources of income, or what other things should I do?
The goal isn't to actually buy a house. It's to assess my future financial capability.
Generally not possible, because it's a crime in this country for middle-class people to have such aspirations and the government thus taxes you to death. But you can try these strategies:
1. Start a side-business in agriculture, as agricultural income is tax free.
2. Start a side-business in street hawking: earn in cash, don't pay tax.
3. Invest in MFs and trade in shares, and hope for high returns. Right now the market is looking bullish. Assuming Modi wins in 2024, it will keep rising.
4. Join politics: you can actually earn 5 crores in a day if you are successful.
If you stay in a law firm until you're 40 (assuming you're 23-24 now) without any gaps in between, you'd definitely be able to afford one, especially if you make partner in one of the T1s.
I don't know what the other commentators are smoking here.
But if you are in a reasonably well paying law firm job, think Tier 1 and Tier 1ish and don't blow your money i.e. save reasonably well, you should be able to afford a 5 Cr+ house once you hit a PQE of about 11-12 years (about 35 I would think).
Source: I have the same background as you, started with the same salary as you and am able to afford.
PS: This assumes you progress reasonably well in your law firm career (i.e. good reviews, strategic jumps in your career etc.)
The goal isn't to actually buy a house. It's to assess my future financial capability.
1. Start a side-business in agriculture, as agricultural income is tax free.
2. Start a side-business in street hawking: earn in cash, don't pay tax.
3. Invest in MFs and trade in shares, and hope for high returns. Right now the market is looking bullish. Assuming Modi wins in 2024, it will keep rising.
4. Join politics: you can actually earn 5 crores in a day if you are successful.
But if you are in a reasonably well paying law firm job, think Tier 1 and Tier 1ish and don't blow your money i.e. save reasonably well, you should be able to afford a 5 Cr+ house once you hit a PQE of about 11-12 years (about 35 I would think).
Source: I have the same background as you, started with the same salary as you and am able to afford.
PS: This assumes you progress reasonably well in your law firm career (i.e. good reviews, strategic jumps in your career etc.)