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SIP Calculator – Estimate Mutual Fund SIP Returns

See what a monthly SIP could grow to, how much of it is your money and how much is growth — with an optional yearly step-up. Free, private and instant.

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How to use the SIP calculator

  1. Enter your monthly investment — the amount you plan to invest every month.
  2. Enter the expected return per year. Use a realistic, conservative figure.
  3. Choose the time period in years.
  4. Optional: tick step-up and enter how much you will increase your SIP every year.
  5. Read the estimated value, the amount invested and the estimated returns, then check the year-by-year table to see how growth speeds up over time.

How the SIP value is calculated

Each instalment is invested at the start of the month and grows at a monthly rate of (annual return ÷ 12). The value of all instalments together is:

FV = P × ((1 + i)^n − 1) ÷ i × (1 + i)
  • P = monthly SIP amount
  • i = monthly return = annual return ÷ 12 ÷ 100
  • n = number of months

With a step-up, the instalment rises after every 12 months, so the calculator works month by month instead of using a single formula. Without a step-up both methods give exactly the same answer.

Example: ₹5,000 a month for 10 years

At an assumed 12% a year:

  • You invest ₹5,000 × 120 months = ₹6,00,000
  • Estimated value after 10 years ≈ ₹11,61,695
  • Estimated growth ≈ ₹5,61,695

Keep going for 20 years and the value rises to about ₹49.96 lakh on ₹12 lakh invested. The second decade adds far more than the first — that is compounding at work, and why starting early matters more than investing a big amount later.

The effect of a yearly step-up

Raise the same SIP by 10% every year for 10 years and you invest about ₹9.56 lakh, while the estimated value climbs to about ₹16.87 lakh, compared with ₹11.62 lakh without a step-up.

Things to keep in mind

  • Returns are not fixed. Markets go up and down. Treat the result as one possible outcome, not a promise.
  • Time matters most. A smaller SIP started early often beats a bigger SIP started late.
  • Stay invested through falls. A SIP buys more units when prices are low; stopping during a fall misses that benefit.
  • Match the fund to the goal. Short-term goals usually suit lower-risk funds; long-term goals can take more equity risk. A SEBI-registered adviser can help you choose.

Who uses a SIP calculator

  • First-time investors deciding how much to start with.
  • Parents planning for a child’s education or wedding.
  • Salaried people planning retirement savings alongside EPF and PPF.
  • Anyone comparing a SIP with a fixed deposit — try the FD calculator with the same amount to see the difference.

This calculator gives estimates for planning only and is not investment advice. Please read the disclaimer.

Frequently asked questions

What is a SIP?

A Systematic Investment Plan (SIP) is a way to invest a fixed amount in a mutual fund every month, usually by auto-debit from your bank account. You buy units at different prices over time instead of investing a large lump sum at once.

Are SIP returns guaranteed?

No. Mutual fund returns depend on the market and change every year — some years are negative. This calculator assumes a steady yearly return so you can plan, but real results will be different. Past performance does not guarantee future returns.

What return should I assume?

Use a conservative number. Debt funds, hybrid funds and equity funds have very different long-term returns. Many people check a few scenarios — for example 8%, 10% and 12% — to see a range instead of relying on one number.

What is a step-up SIP?

A step-up (or top-up) SIP raises your monthly instalment by a fixed percentage every year, for example 10%, usually in line with salary increases. Even small yearly increases make a large difference to the final value over long periods.

How is SIP maturity value calculated?

Each monthly instalment grows at the monthly rate (annual rate ÷ 12) until the end of the period. The standard formula is FV = P × ((1 + i)^n − 1) ÷ i × (1 + i), where P is the monthly amount, i the monthly rate and n the number of months.

Does this include tax and fund expenses?

No. The result is before capital gains tax, exit loads and the fund’s expense ratio. Use the expected return net of fund expenses if you want a closer estimate, and check current tax rules for your fund type.

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