Rs 1 lakh monthly loss, due to one money mistake: CA issues warning, explains how to convert it into Rs 4.5 crore instead

A chartered accountant has issued a blunt warning about a financial mistake that, according to him, quietly eats away more than ₹1 lakh every month from an individual’s wealth. In a post shared online, CA Nitin Kaushik said buying a luxury car is not a lifestyle upgrade but a systematic destruction of capital. He broke down the numbers in simple terms and argued that many high earners do not realise how much they are actually losing over time.

The ₹50 Lakh Car Calculation

According to the post, the math on a ₹50 lakh vehicle is “offensive.” He pointed out that when you add up the EMI, insurance costs, and the nearly 20% drop in value the moment the car leaves the showroom, the owner is bleeding over ₹1 lakh every single month.

The warning was direct. The moment a new luxury car is driven off the lot, a significant chunk of its value disappears. On top of that, monthly EMIs continue for years. Insurance for high-end vehicles is also expensive. Maintenance and servicing add more pressure, even though those numbers were not the core of his calculation.


His larger point was that this is not just spending. It is capital erosion.

What That ₹12 Lakh a Year Could Become

He then flipped the example. Instead of spending ₹12 lakh annually on a depreciating asset, he suggested redirecting that same amount into land. He referred to developing corridors where land as an asset class has seen pockets of 25% CAGR.

With that assumption, he said a person could be looking at a ₹4.5 crore portfolio within a decade. In comparison, the ₹50 lakh car may end up being worth maybe ₹8 lakh after years of use.

The contrast he drew was sharp. On one side is a growing asset base. On the other side is what he called “a rusted piece of metal” steadily losing value.

Cost of Delayed Financial Freedom

The post also questioned the emotional side of such purchases. He wrote that most people are trading a massive, debt-free future for the smell of new leather and a badge that loses its prestige faster than the engine wears out.

He further added that it is hard to feel successful in a car when you realise you just paid for it with the next twenty years of your financial independence.