SIP Calculator
Calculate the future value of monthly SIP investments.
How SIP returns are calculated
A SIP (Systematic Investment Plan) invests a fixed amount every month. The future value formula is FV = P × ((1 + i)n − 1) ÷ i × (1 + i), where P is your monthly investment, i the monthly return rate, and n the number of months. Each instalment compounds for a different length of time — which is exactly why starting early matters more than investing more.
The power of time, in numbers
₹5,000/month at 12% annual returns becomes roughly ₹11.6 lakh in 10 years, ₹25 lakh in 15 years, and ₹50 lakh in 20 years — while your invested amount is only ₹6 lakh, ₹9 lakh and ₹12 lakh respectively. The last 5 years generate more growth than the first 15 combined. Run your own numbers above and look at the "wealth gained" line.
What return rate should you assume?
Indian equity mutual funds have historically averaged 10–14% over long periods, but past returns don't guarantee future ones. A conservative plan uses 10–12% for equity funds and 6–8% for debt funds. Test both a realistic and a pessimistic rate before committing.
Step-up tip
Increasing your SIP by 10% each year (as your income grows) roughly doubles the final corpus on long horizons compared to a flat SIP. Recalculate yearly with your new amount.
For planning only — mutual fund investments are subject to market risk. Consult a financial advisor for personalized advice.
Frequently asked questions
Is the return rate guaranteed?
No. SIP returns depend on market performance — the calculator projects growth at the constant rate you enter, which real markets will fluctuate around.
What does "wealth gained" mean?
It is the maturity value minus the total you invested — the portion of the final corpus that came from returns rather than your own deposits.
SIP vs lump sum — which is better?
SIPs average your purchase price across market ups and downs (rupee cost averaging) and suit salaried investors. A lump sum can outperform if invested at the right time, but timing markets consistently is extremely hard.
Does this account for inflation or taxes?
No — it shows nominal pre-tax value. For inflation-adjusted planning, use a return rate of roughly (expected return − 6%) to think in today's money.