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SIP Calculator

Estimate the future value of your monthly SIP investment based on investment amount, duration, and expected return.

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Investment Details

₹500 ₹10,00,000
%
1% 30%
Yr
1 Yr 40 Yrs

Investment Summary

Total Invested Amount

₹ 12,00,000

Estimated Returns

₹ 11,23,391

Future Value

₹ 23,23,391

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SIP Guide

What is an SIP?

A Systematic Investment Plan (SIP) is an investment vehicle offered by mutual funds to investors, allowing them to invest small amounts periodically instead of lump sums. The frequency of investment is usually weekly, monthly or quarterly.

Formula Used

The SIP calculator uses the future value formula for an annuity due:

FV = P × [((1 + r)^n - 1) / r] × (1 + r)
  • P = Monthly SIP amount
  • r = Monthly return rate (Annual Rate / 12 / 100)
  • n = Number of months

Example Calculation

If you invest ₹ 10,000 per month for 10 years at an expected return of 12% per annum:

  • Total Investment: ₹ 12,00,000
  • Estimated Return: ₹ 11,23,391 approx
  • Future Value: ₹ 23,23,391 approx

Frequently Asked Questions

Can I change my SIP amount later? expand_more

Yes, most mutual fund companies allow you to modify your SIP amount, pause it, or stop it completely without any penalty. You can also start a Step-Up SIP which automatically increases your investment amount every year.

What is a Step-Up SIP? expand_more

A Step-Up SIP is an automated feature that increases your SIP amount periodically (usually annually) by a fixed percentage or amount. This helps combat inflation and aligns your investments with your growing income.

Are SIP returns guaranteed? expand_more

No, mutual fund returns are linked to market performance and are not guaranteed. The expected return in this calculator is for illustration purposes only. Historically, equity mutual funds have delivered inflation-beating returns over the long term.

What is Rupee Cost Averaging? expand_more

When you invest a fixed amount every month through an SIP, you buy more units when the market is low and fewer units when the market is high. Over time, this averages out your cost of investment.

What is the minimum amount to start an SIP? expand_more

You can start an SIP in most mutual fund schemes with a minimum amount of just ₹500 per month.

Disclaimer: This calculator is for illustration purposes only. Actual returns may vary based on market conditions, fund performance, expense ratio, taxation, and other factors. Please consult your financial advisor before investing.