SIP calculator
Calculate returns on your mutual fund SIP investments. See projected corpus, total investment, and wealth gain over any time period.
What is a SIP calculator?
A Systematic Investment Plan (SIP) lets you invest a fixed amount in mutual funds at regular intervals — typically monthly. This calculator shows how your investments compound over time, factoring in the expected rate of return to project your total corpus at the end of the investment period.
You can also add an initial lumpsum to see the combined effect of a one-time investment plus ongoing monthly SIPs. Switch to "Calculate SIP for goal" mode to reverse the calculation — enter your target amount and see how much you need to invest monthly to reach it.
"SIPs have emerged as India's preferred long-term wealth-building habit, helping investors maintain discipline through market volatility while steadily deepening equity participation across market cycles."
How are SIP returns calculated?
Each monthly SIP installment earns returns independently from the date it was invested. The formula uses the future value of an annuity: FV = P × [((1 + r)^n − 1) / r] × (1 + r), where P is the monthly amount, r is the monthly rate (annual rate ÷ 12), and n is the number of months. This captures the compounding effect accurately — earlier installments earn more than later ones.
SIP vs lumpsum
Lumpsum investing deploys all your capital at once, while SIP spreads it over months, averaging out market volatility. Neither is universally better — lumpsum works if markets are fairly valued and you have capital ready; SIP suits regular earners building a corpus from salary.
For one-time investments, try our lumpsum calculator.
When to use step-up SIP
If you plan to increase your SIP annually as your income grows, use the step-up SIP calculator. Even a 10% yearly increase can grow your final corpus by 40–50% compared to a flat SIP.
Planning withdrawals later?
When you're ready to draw income from your corpus, the SWP calculator shows how long your money will last with monthly withdrawals.
SIP vs Lump Sum: Side-by-Side Comparison
Investing ₹5,000/month via SIP vs a one-time ₹6,00,000 lump sum, both at 12% annual return over 10 years.
| Feature | SIP More flexible | Lump Sum |
|---|---|---|
| Investment style | Monthly installments | One-time investment |
| Minimum to start | ₹500/month | ₹1,000 one-time |
| Rupee cost averaging | Yes — buys more units when prices fall | No — single entry price |
| Market timing risk | Low | High |
| ₹5,000/mo × 10 yrs at 12% | Corpus: ~₹11.6L | n/a |
| ₹6L one-time × 10 yrs at 12% | n/a | Corpus: ~₹18.6L |
| Best for | Salaried, regular savers | Those with surplus capital |
| LTCG tax (equity funds) | 12.5% above ₹1.25L | 12.5% above ₹1.25L |
Returns are illustrative; actual mutual fund returns vary.
Common Uses
- Monthly salary investment planning: Calculate how much a fixed monthly SIP will grow into over 10, 20, or 30 years at expected mutual fund returns.
- Retirement corpus building: Determine the monthly SIP amount needed today to accumulate a target retirement corpus by a specific age.
- Child's education fund: Estimate the monthly investment required to fund an engineering or medical degree 15 years from now.
- Tax-saving via ELSS SIP: Calculate the value of monthly ELSS SIP contributions to maximise the ₹1.5 lakh Section 80C deduction over a year.
- SIP vs. FD comparison: Compare projected SIP corpus at 12% against FD maturity at 7% for the same monthly amount and tenure.
- First investment decision: New investors calculate how even ₹500/month grows meaningfully over time to overcome hesitation about starting small.
- Home down payment planning: Back-calculate the monthly SIP needed to accumulate a 20% down payment on a target property price within 5 years.
FAQ
What is a good return rate for SIP?
Equity mutual funds in India have historically returned 12–15% per annum over long periods, though past returns don't guarantee future performance. Debt funds typically return 7–9%, while balanced funds fall in between. Most SIP calculators use 12% as a reasonable default for equity-heavy portfolios over 10+ years.
Can I combine SIP and lumpsum?
Yes. Many investors deploy a lumpsum when they receive a bonus or windfall, then continue a monthly SIP alongside. This calculator's optional lumpsum field lets you model exactly that — the lumpsum compounds from day one while the SIP adds monthly contributions throughout the period.
What is the difference between SIP and SWP?
SIP (Systematic Investment Plan) is for building wealth by investing regularly. SWP (Systematic Withdrawal Plan) is the reverse — withdrawing a fixed amount from an existing corpus. Most investors use SIP during their earning years, then switch to SWP in retirement to generate monthly income.
Does the SIP calculator store my financial data?
No. All calculations run entirely in your browser. Your investment figures are never sent to a server or stored after you close the page.
Does the SIP calculator account for fund expense ratios?
The calculator uses the return rate you enter. For a more realistic projection, reduce your expected return by the fund's expense ratio (typically 0.1–1.5%). If your fund returns 14% with a 1% expense ratio, enter 13%.
By the Numbers
- SIP contributions hit a record ₹26,459 crore in December 2024 (AMFI monthly data)
- India has over 10.26 crore active SIP accounts as of December 2024 (AMFI)
- The NIFTY 50 has delivered approximately 13% CAGR over the past 20 years — demonstrating the power of disciplined SIP investing
- SIPs in ELSS schemes qualify for tax deductions up to ₹1.5 lakh per year under Section 80C of the Income Tax Act