Home / Business and Economy / Soaring Costs Bury India's Rs 2 Lakh Metro Salaries
Soaring Costs Bury India's Rs 2 Lakh Metro Salaries
27 Jan
Summary
- Private school fees increased by 160% over the past decade.
- Medical inflation in India is at a high of 14% annually.
- Housing debt consumes half of take-home pay for metro earners.
For many in India's middle class, earning Rs 2 lakh per month in a metro city once represented financial comfort. However, soaring living costs and long-term debts are diminishing this aspirational income. Private school fees have escalated by 160% in the last decade, while medical inflation has reached 14%.
The dream of homeownership has become a 20-year debt trap, with housing prices in cities like Mumbai and Delhi making home loans consume up to half of monthly earnings. This financial pressure, coupled with high taxes and living expenses, means high earners are often servicing debts rather than building wealth.
Financial experts note that a rigid lifestyle with heavy EMIs and fixed costs forces individuals into defensive career choices. They cannot afford to quit, experiment, or take risks, even for potential long-term growth. A flexible income, even if lower, can offer more true value than a high, but inflexible, salary.
