SIP Calculator
A SIP (systematic investment plan) lets you invest a fixed amount in a mutual fund every month instead of investing a large sum at once. Because you buy regularly, you buy more units when prices are low and fewer when they are high, and the money you invest compounds over time.
SIP Calculator
Example values are shown to start with. Change them to your own numbers. Everything is calculated in your browser.
This calculator estimates what a monthly SIP could grow to if it earned a steady yearly return. It shows the maturity value, the total amount you put in and the wealth gained. Real mutual fund returns move up and down, so treat the result as an illustration, not a forecast.
Worked example
With the starting values below, the calculator gives the results in the second table.
| Monthly investment | ₹5,000 |
|---|---|
| Expected return | 12% |
| Years | 10 |
| Maturity value | ₹11,61,695.38 |
|---|---|
| Amount invested | ₹6,00,000.00 |
| Wealth gained | ₹5,61,695.38 |
How to use this calculator
- Enter the amount you want to invest every month.
- Enter the yearly return you expect. The default is only an example, so change it to your own estimate.
- Enter the number of years you plan to stay invested.
- Read the maturity value, amount invested and wealth gained.
Formula
- P is the monthly investment.
- i is the monthly rate: expected annual return ÷ 12 ÷ 100.
- n is the number of monthly instalments: years × 12.
- The (1 + i) factor assumes each instalment is invested at the start of the month.
Assumptions
- The return is the same every year. Market-linked returns are not.
- Every instalment is invested at the start of the month.
- Expense ratio, exit load, taxes on gains and inflation are not deducted.
- The 12% shown by default is an example assumption, not a recommendation or promise.
Limitations
- Mutual fund returns are not guaranteed and can be negative in some periods.
- If you invest at irregular dates, a calculation such as XIRR is more suitable than this one.
Frequently asked questions
How is SIP maturity value calculated?
Each monthly instalment is assumed to earn the monthly rate for the months it stays invested. The formula adds up all instalments with their growth: P × [((1 + i)ⁿ − 1) ÷ i] × (1 + i).
What return should I enter?
There is no single right answer. Use a cautious figure based on the type of fund and your time horizon, and try a lower value as well. The calculator is most useful for comparing scenarios.
Does this include tax and fund charges?
No. Capital gains tax, expense ratio and exit load reduce what you actually receive. Check the fund's documents and the current tax rules.
Is SIP better than a lump sum?
It depends on markets and your cash flow. A SIP suits regular income and reduces timing risk. Compare it with the lump sum calculator if you have a large amount to invest.
Related calculators
- Step-up SIP CalculatorSee how raising your SIP every year changes the final amount.
- Lumpsum CalculatorGrowth of a one-time investment at a steady yearly return.
- CAGR CalculatorCompound annual growth rate between a starting and ending value.
Sources and method
The SIP formula is the future value of an annuity due. See how our calculators work.
Results are estimates for planning only and are not financial, tax or legal advice. Rates, rules and your own circumstances can change the outcome. Read our disclaimer.