SIP Calculator

Calculate mutual fund SIP returns & wealth creation

Choose Investment Style

₹5,000
₹500₹1 Lakh
12%
1%30%
10 Years
1 Year40 Years
Maturity Value
₹11.62 L
Invested Amount
₹6.00 L
Est. Returns
₹5.62 L
Absolute Return
93.62%
CAGR
6.83%

Wealth Accumulation Breakdown

52%
48%
Total Investment
₹6.00 L
Estimated Returns
₹5.62 L

Investment Summary

  • • You invest ₹5,000/month for 10 years
  • • Total amount invested: ₹6.00 L
  • • Expected wealth creation: ₹5.62 L
  • • Your portfolio grows at 12% annual return

What is a SIP Calculator?

A SIP (Systematic Investment Plan) Calculator is a financial tool that helps you estimate the returns on your regular mutual fund investments. It calculates the maturity amount based on your monthly investment, expected rate of return, and investment duration.

This calculator is essential for financial planning and helps you understand how much wealth you can create through disciplined investing. It shows both absolute returns and CAGR (Compound Annual Growth Rate) for better decision-making.

How to Use

  1. 1Choose investment style (Conservative/Moderate/Aggressive)
  2. 2Enter monthly SIP amount using the slider
  3. 3Set expected annual return rate (10-15% for equity funds)
  4. 4Choose investment period in years
  5. 5See maturity value, returns & CAGR instantly

SIP Calculation Formula

FV = P × [(1 + r)n - 1] / r × (1 + r)

Future Value = Monthly Investment × [(1 + Monthly Rate)Months - 1] / Monthly Rate × (1 + Monthly Rate)

P = Investment
Monthly SIP amount
r = Rate
Monthly rate (Annual/12/100)
n = Months
Investment duration in months

Benefits of SIP Investment

Rupee Cost Averaging

Buy more units when prices are low and fewer when high, reducing average cost per unit.

Power of Compounding

Earn returns on returns over time, exponentially growing your wealth.

Disciplined Investing

Automate investments and build wealth systematically without market timing.

Start Small, Grow Big

Begin with as little as ₹500/month and increase gradually.

Frequently Asked Questions

What is SIP and how does it work?

SIP (Systematic Investment Plan) is a method of investing a fixed amount regularly in mutual funds. Instead of investing a lump sum, you invest small amounts monthly, which are used to purchase units of a mutual fund. This helps in rupee cost averaging and reduces market timing risk.

How is SIP return calculated?

SIP returns are calculated using the Future Value 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 number of months. The calculator shows both absolute returns and CAGR (Compound Annual Growth Rate).

What is a good return rate for SIP?

Historically, equity mutual funds have delivered 12-15% annual returns over the long term (10+ years). Debt funds typically give 6-9% returns. However, past performance doesn't guarantee future returns. Your expected return should be realistic based on your fund category and risk appetite.

Can I stop or pause my SIP anytime?

Yes, SIP is flexible. You can stop, pause, or modify your SIP amount anytime without any penalty. However, to achieve your financial goals, it's recommended to continue SIP for the planned duration.

What is the minimum amount for SIP?

Most mutual funds allow SIP starting from ₹500 per month. However, to build substantial wealth, it's recommended to invest at least ₹1,000-₹5,000 monthly based on your income and financial goals.