SIP Calculator

Calculating your SIP returns takes less than a minute:

1. Enter the monthly investment amount you plan to invest via SIP.
2. Enter the expected annual return rate based on the mutual fund category you're investing in.
3. Select the investment duration in years.
4. Click Calculate to instantly see your total invested amount, estimated returns, and final maturity value.

The calculator also shows how much of your final corpus comes from your own contributions versus the wealth generated through compounding.

SIP (Systematic Investment Plan) is a method of investing in mutual funds where you invest a fixed amount at regular intervals — usually monthly — instead of investing a large sum all at once. This approach helps you build wealth gradually while benefiting from rupee cost averaging and the power of compounding.

SIP is popular among investors because it doesn't require timing the market, makes investing disciplined and habitual, and allows even small, regular amounts to grow into a substantial corpus over the long term.

The future value of a SIP investment is calculated using the following formula:

FV = P × [(1 + i)^n − 1] / i × (1 + i)

Where:

• FV = Future value of the investment
• P = Monthly investment amount
• i = Monthly rate of return (annual rate ÷ 12 ÷ 100)
• n = Total number of monthly installments

For example, if you invest ₹5,000 per month for 10 years at an expected annual return of 12%, your investment would grow to approximately ₹11,61,695, of which ₹6,00,000 is your own contribution and the rest is returns generated through compounding.

SIP offers several advantages over lump sum investing:

1. Rupee Cost Averaging — Since you invest a fixed amount regularly, you buy more units when prices are low and fewer when prices are high, averaging out your purchase cost over time.
2. Power of Compounding — Returns earned are reinvested, generating further returns, which significantly boosts long-term wealth creation.
3. Disciplined Investing — Automating your investment removes the need to time the market and builds a consistent saving habit.
4. Flexibility — You can start with small amounts, increase your SIP over time, pause, or stop it without major penalties in most funds.

Both SIP and lumpsum have their place depending on your situation:

• SIP — Better suited for salaried individuals investing from regular income, and for reducing the risk of investing a large amount at the wrong time.
• Lumpsum — Better suited when you have a large sum available upfront and markets are at relatively lower valuations, allowing the full amount to benefit from long-term compounding.

Many investors use a combination of both — investing a lumpsum when funds are available and continuing regular SIPs alongside for disciplined, ongoing investment.

Our calculator helps you plan your investments smartly by allowing you to:

• Get instant, accurate projections of your SIP's future value
• Compare outcomes across different investment amounts, tenures, and expected returns
• Understand exactly how much of your corpus comes from returns versus your own contributions
• Set realistic, achievable financial goals before starting your investment