Earning ₹1.5 Lakh Per Month in a Metro, Yet Feeling Broke: The Harsh Reality
Last Update Date: 05-10-2026
Published by freefincal
Abhishek Kumar's role: Wrote this article
Abhishek Kumar wrote this guest post on why a high metro salary can still leave little room to save, and on practical steps such as a 50-30-20 budget and an emergency fund of eight months or more.
What Abhishek Kumar said
Why can ₹1.5 lakh a month in a metro still leave someone feeling broke?
Because four pressures arrive at once. Rent near the office can take 40 to 50 per cent of take-home pay, and living farther out trades money for hours of commuting. Each raise quietly lifts spending along with it. Many young professionals also send money home, since their parents spent their own savings on their education, and that is not optional. Add an EMI or two and what is left may cover only a few months of expenses, a fragile position for anyone whose job depends on the next business cycle.
How should I split my income if I want to start saving in a city?
I suggest three buckets as a starting point: up to half of take-home pay for needs such as rent, food, transport, utilities and insurance; under 30 per cent for wants; and at least 20 per cent set aside. If rent alone takes more than 40 per cent, a smaller flat or a flatmate is worth considering. These ratios are a guide, not a rule; incomes and obligations differ, so adjust them, but keep saving something every month. Building the habit matters more than hitting the exact numbers.
How large should an emergency fund be for someone living in a metro?
The old three-months rule feels outdated to me. With high rents, EMIs and jobs that can vanish in a downturn, I would aim for eight to twelve months of expenses, built steadily from the first salary and fed by an automatic transfer. Keep it somewhere that lets you sleep: a debt fund suits some people, a savings account or fixed deposit suits others. What matters is that its value does not swing much, so the money is there in full on the day it is needed.
How do I stop lifestyle inflation from eating my raises?
By refusing to upgrade automatically every time pay goes up. Small choices add up: public transport instead of frequent cabs, lunch from home instead of the office cafe, and not buying a gadget or a brand simply because the EMI looks affordable. The harder part is comparison. Friends and colleagues did not start from the same place you did, so measuring your life against theirs is not a fair test. I would rather live in a way that lets me sleep well than in one that merely looks good.
In our words, from what he said in the piece. General information, not personal advice.
More of Abhishek's views on money management
The post looks at why young professionals earning around ₹1.5 lakh a month in cities like Bengaluru can still feel short of money. It points to high rents, spending that rises with every pay hike, support sent to parents, and thin emergency savings, and suggests a simple budget split, a larger emergency fund and restraint on lifestyle upgrades.
Publisher source
Earning ₹1.5 Lakh Per Month in a Metro, Yet Feeling Broke: The Harsh Reality