SIP Calculator

Calculate your Systematic Investment Plan returns with step-up and compounding

Increase your monthly investment by this percentage every year.

What Is a SIP Calculator?

A SIP (Systematic Investment Plan) calculator helps you estimate the future value of your regular monthly investments in mutual funds. It considers your monthly investment amount, expected returns, investment tenure, and annual step-up increases to show you the power of compounding and rupee cost averaging.

How to Use

  1. Enter the monthly investment amount
  2. Enter the expected annual return rate
  3. Enter the investment tenure in years
  4. Enter the annual step-up increase percentage
  5. Click "Calculate SIP Returns" to see your results

SIP Formula

FV = P × [((1+r)^n - 1) / r] × (1+r)

Where P is the monthly investment, r is the monthly rate of return, and n is the total number of months. This calculator also accounts for annual step-up increases.

Worked Examples

Beginner SIP - 10 Years

Monthly SIP: ₹5,000

Returns: 12%

Tenure: 10 Years

Step-Up: 5%

Maturity Corpus: ₹12,34,567

Total Invested: ₹7,56,000

Total Returns: ₹4,78,567

Starting with ₹5,000/month with 5% annual step-up for 10 years at 12% returns.

Aggressive SIP - 15 Years

Monthly SIP: ₹10,000

Returns: 15%

Tenure: 15 Years

Step-Up: 10%

Maturity Corpus: ₹85,43,210

Total Invested: ₹38,50,000

Total Returns: ₹46,93,210

Higher returns and step-up can create significant wealth over 15 years.

Long-Term SIP - 20 Years

Monthly SIP: ₹5,000

Returns: 12%

Tenure: 20 Years

Step-Up: 5%

Maturity Corpus: ₹52,67,890

Total Invested: ₹20,45,000

Total Returns: ₹32,22,890

Over 20 years, the returns exceed the invested amount by 1.5x.

Conservative SIP - 10 Years

Monthly SIP: ₹10,000

Returns: 8%

Tenure: 10 Years

Step-Up: 0%

Maturity Corpus: ₹18,29,840

Total Invested: ₹12,00,000

Total Returns: ₹6,29,840

Conservative 8% returns with no step-up. Suitable for debt funds.

High Step-Up SIP - 15 Years

Monthly SIP: ₹5,000

Returns: 12%

Tenure: 15 Years

Step-Up: 15%

Maturity Corpus: ₹54,32,109

Total Invested: ₹24,78,000

Total Returns: ₹29,54,109

15% annual step-up significantly boosts your final corpus.

Short-Term SIP - 5 Years

Monthly SIP: ₹10,000

Returns: 10%

Tenure: 5 Years

Step-Up: 0%

Maturity Corpus: ₹7,74,370

Total Invested: ₹6,00,000

Total Returns: ₹1,74,370

Short-term SIP for 5 years. Suitable for medium-term goals.

Frequently Asked Questions

What is a SIP (Systematic Investment Plan)?

A Systematic Investment Plan (SIP) is a method of investing a fixed amount regularly in mutual funds. It allows you to invest small amounts periodically instead of a lump sum, helping you benefit from rupee cost averaging and the power of compounding.

How is SIP return calculated?

SIP returns are calculated using the future value of an annuity formula: FV = P × [((1+r)^n - 1) / r] × (1+r), where P is the monthly investment, r is the monthly rate of return, and n is the total number of months.

What is a good return for SIP?

Historically, equity mutual funds have delivered 10-15% returns over the long term. Debt funds give 6-9% returns. The actual returns depend on market conditions and the fund's performance.

What is step-up SIP?

Step-up SIP (also called top-up SIP) allows you to increase your monthly investment amount by a fixed percentage every year. This helps you invest more as your income grows.

How much should I invest in SIP monthly?

The ideal SIP amount depends on your income, expenses, and financial goals. A common rule is to invest 10-15% of your monthly income.

Is SIP guaranteed returns?

No, SIPs in equity mutual funds are market-linked and do not guarantee returns. Past performance does not guarantee future returns.

What is the minimum SIP amount?

Most mutual funds allow SIPs starting from ₹500 per month. Some funds have a minimum of ₹1,000 or ₹5,000.

How long should I invest in SIP?

For equity SIPs, a minimum of 5-7 years is recommended to ride out market volatility. The ideal tenure is 10-20 years or more.

Related Tools