'It costs Rs 1.5 lakh a month just to exist': Indian-origin man asks if Rs 4.6 lakh is enough in Bengaluru

An Indian-origin man planning to return to India after spending 15 years in the US has sparked a discussion on Reddit after sharing his estimated monthly budget for relocating to North Bengaluru and seeking feedback on whether his calculations accurately reflect the city's cost of living.

The man said he would be joining a new job with a fixed annual salary of Rs 85 lakh. As an OCI card holder, he said his employer's HR informed him that he would contribute 12 per cent of his base pay, which is 50 per cent of the fixed salary, towards EPF. After accounting for taxes and surcharge on a total compensation exceeding Rs 1 crore, he estimated his monthly take-home salary at around Rs 4.6 lakh.

He clarified that his post was not about whether the salary would be sufficient, but whether he had overlooked any major expenses in his budget.

Budget estimates for Bengaluru move

The Reddit user estimated monthly rent between Rs 70,000 and Rs 90,000 for a three to four-bedroom apartment. He also budgeted Rs 35,000 towards a villa mortgage, which he plans to clear through a lump sum payment by the end of the year.

His projected monthly expenses also included Rs 10,000 for utilities, Rs 25,000 to Rs 35,000 for a car through a lease programme including fuel costs, Rs 25,000 for domestic help covering cooking and cleaning, Rs 20,000 for his child's school fees and activities, Rs 30,000 for groceries for his vegetarian family of four including his parent, Rs 30,000 for restaurants and takeaways, Rs 40,000 for shopping and miscellaneous expenses, Rs 25,000 for travel and Rs 20,000 towards his child's college savings.

The user said the proposed budget would leave him with just over Rs 1 lakh every month for regular savings and investments. He added that he was surprised it would cost nearly Rs 1.5 lakh every month to cover essential expenses such as rent, domestic help, school fees and groceries, and asked whether his estimates were realistic for Bengaluru.

The user said the estimated rent was based on apartments located within a reasonable distance from his office, adding that the higher cost would be worthwhile for a shorter commute.

He also said he plans to purchase a Grand Vitara hybrid priced at around Rs 18 lakh and had estimated the monthly lease payment along with fuel costs.

The family is considering CBSE schools with annual fees of about Rs 1.2 lakh. He added that his monthly shopping budget of $400 had been converted directly into Indian currency and that any unused amount would roll over to the following month. He said none of the family members preferred premium brands.

The user's employer provides medical insurance worth Rs 5 lakh annually along with Rs 30,000 towards outpatient reimbursement. He plans to purchase a Rs 1 crore super top-up health insurance policy for himself, his spouse and child. His parent is covered under a government health insurance scheme, while his employer also provides Rs 1,500 every month towards internet and phone expenses. He said his life insurance policy would remain in the US with a monthly premium of $60, and he plans to maintain funds in his US account or transfer a lump sum each year.

Reddit users share their views

Several Reddit users responded to the post with suggestions on the proposed budget.

One user said the combination of high rent and a mortgage was significantly increasing the overall expenses. The user also felt that the shopping budget was higher than what many upper-class households typically spend, while adding that the allocation for domestic help appeared high and the school budget seemed low.

Responding to the comment, the original poster said experienced domestic workers who can work independently typically charge more than Rs 15,000 per month. He added that in some areas, cooks handle cooking and dusting but do not undertake cleaning work.

Another user described the budget as realistic and said most major expenses appeared to be in line with living costs in North Bengaluru. However, the commenter advised keeping an additional buffer for utility bills and suggested avoiding frequent adjustments to the budget until the family had lived in the city for a few months, noting that spending expectations after 15 years in the US could differ from local costs.

A fourth user said the Rs 20,000 monthly allocation for school fees and activities appeared low and suggested budgeting around Rs 30,000 instead. The commenter also felt the domestic help expenses were on the higher side but said the remaining estimates were reasonable and would still allow for monthly savings. The user further advised against opting for a car lease, saying that foreclosure charges could become an additional burden in the event of job loss.

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