I plan to buy a gaming PC around 60000 Rs.
My configuration is
Intel core i5 3550 (Rs. 12564)
AS Rock z777 Extreme 4 mobo(Rs. 10660)
GSkill RipJawsX DDR3 1600mHz(Rs.3050)
WD Caviar Blue 1TB HDD(Rs. 5400)
Gigabyte AMD 7850 OC 2GB (Rs. 12720
BenQ G220 FHD monitor(Rs.8170)
Cooler Master Cabinet(Rs.2220)
Cooler master Thunder 600W PSU(Rs.4347)
Keyboard+Mouse+Speakers(Rs. 1500)
APC UPS 1KVA(Rs. 1800)
LG Optical Drive(Rs.950)

I am not sure whether to go for i5 3570k,3570 or i5 3550.Also tell me where I can cut down my costs perhaps in case of mobo.


You'll need to tell ys what country and currency, as it's obvioualy not US. Component availibility and price varies quite a bit by country and this is a primary english forum (or rather USA priced).

I comment off the top of my head is the i5 3570k is generally the best cpu if you overclock, and has a premium as such, if you don't you may find cheaper CPU's that sacrafice speed
Go with the 3470 - it'll perform exactly the same as any but a heavily overclocked 3570k. Get an h77 motherboard instead of z77, since you won't be overclocking.

Get a different PSU - coolermaster doesn't make good power supplies.
LOL about Coolermaster :-D He's right though - Seasonic are the best in the industry. XFX use them exclusively as a supplier, and PC Power and Cooling also do for their Silencer and Silencer Mk III lines. Also exactly right about 3470, though I'd extend that to the 3450. You really won't notice a difference between these models - they're near enough identical.