R2I Planning : How much is enough for R2I ?

One of the most frequently debated topic on all R2I forums is "How much is enough?" to R2I. Opinions range from the utterly ridiculous to the extremely optimistic - And thats my opinion. So this blog entry is an attempt to document a fact rather than express an opinion. My wife and I have been tracking our expenses using Quicken. We have tracked ALL expenses - big and small - be it a lavish dinner or a short auto rickshaw ride in an attempt to capture the typical monthly expense range. And our range is between 30 to 40 thousand rupees a month. Below is the expense graph for the current month - its on the lower end of the range. But you can see the expense breakup under various categories we have identified.


In order to place the above information in better perspective, our profile is as follows:
Young couple - no kids
Both working
Own house and car (no EMI)
Regular moviegoers (once a week)
Regular restaurant diners (once or twice a week)
Social Drinkers ( Alcohol not a big expense)
Generally in good health
Not shopaholics

And we lead an upper middle class life in Bangalore. We don't hesitate to go out with friends for a drink or think twice before visiting an expensive restaurant. But given that we are both working, these are generally over the weekend. So the above numbers are pretty much the average for any month. The expense report does not include any travel or vacation obviously. It only includes what we consider regular monthly expenses. Since quite a few R2I'ers would fall under the above profile, thought this information would be useful. If you rent, add another 15 thousand rupees for Bangalore. EMI payments can really bloat your monthly budget - but if you plan your R2I such that your Home and Car are covered from your savings, the above numbers should serve as a good guide.