Investment Details
Quick Examples:
Investment Growth Over Time
Understanding Your SIP Results
Future Value
This is the total amount you'll receive when your SIP matures. It includes both your monthly contributions and all the returns generated through compounding. This is your target wealth.
Total Investment
The sum of all your monthly contributions over the investment period. This is the actual money you put in from your pocket, calculated as monthly investment × number of months.
Total Returns
The profit generated on your investment, calculated as Future Value minus Total Investment. This represents the wealth created purely through compound growth and market returns.
Return Rate
The percentage gain on your total investment, showing how much your money has grown. A higher return rate indicates better wealth creation efficiency over the investment period.
Power of Compounding
The magic of SIP lies in compounding - earning returns on your returns. The longer you invest, the more powerful compounding becomes, exponentially growing your wealth over time.
What is SIP Calculator?
SIP Investment Examples
Small Investment - Fresh Graduate
Perfect for someone starting their career with limited savings but wanting to build wealth systematically.
Calculation Steps
- Monthly Investment: ₹2,000
- Expected Return: 12% per annum
- Investment Period: 10 years
- Total Investment: ₹2,40,000
Standard Investment - Mid-Career Professional
Ideal for established professionals looking to build a substantial retirement corpus or achieve major financial goals.
Calculation Steps
- Monthly Investment: ₹5,000
- Expected Return: 12% per annum
- Investment Period: 15 years
- Total Investment: ₹9,00,000
Large Investment - High Earner
Suitable for high-income individuals aiming to create significant wealth for early retirement or legacy planning.
Calculation Steps
- Monthly Investment: ₹10,000
- Expected Return: 15% per annum
- Investment Period: 20 years
- Total Investment: ₹24,00,000
How to Use the SIP Calculator?
Enter Monthly Investment
Input the amount you plan to invest every month. You can start with as little as ₹500 or go up to ₹10 lakhs depending on your financial capacity.
Set Expected Return Rate
Choose your expected annual return rate. Equity mutual funds historically average 12-15% returns, while debt funds offer 6-8%. Be conservative in your estimates.
Choose Investment Period
Select how long you plan to continue your SIP. Longer periods (10+ years) allow compounding to work its magic and generate substantial wealth.
View Your Results
Instantly see your future value, total investment, total returns, and return rate. Use the growth chart to visualize how your wealth accumulates over time.
Why Use Our SIP Calculator?
Accurate Calculations
Based on the standard SIP compound interest formula used by financial institutions. Our calculator provides precise future value estimates that match professional financial planning tools.
Instant Results
No waiting, no registration required. Get your SIP projections in real-time as you adjust investment parameters. Perfect for quick comparisons and what-if scenarios.
Visual Growth Charts
See your investment growth over time with interactive charts. Understand how your regular contributions compound and grow into substantial wealth through visual representation.
Mobile Optimized
Plan your investments anywhere, anytime. Our responsive design works flawlessly on smartphones, tablets, and desktops, giving you flexibility in financial planning.
Completely Free
No hidden fees, no registration, no credit card required. Access professional-grade SIP calculations absolutely free, as many times as you need.
Understanding SIP Parameters
Monthly Investment
The fixed amount you invest every month through SIP. This remains constant throughout the investment period, creating disciplined savings habit.
Annual Return Rate
The expected yearly return percentage on your investment. Historical data shows equity funds average 12-15%, while debt funds offer 6-8% annually.
Investment Period
The total duration you plan to continue your SIP. Longer periods benefit more from compounding, with 10+ years recommended for wealth creation.
Future Value
The total amount you'll receive at the end of your investment period, including both your contributions and the returns generated.
SIP Calculation Formula
Mathematical Foundation
Future Value (FV)
Where P = monthly investment amount, r = monthly rate of return (annual rate / 12 / 100), n = total number of months (years × 12). This compound interest formula accounts for regular monthly contributions.
FV = P × [ ((1 + r)^n - 1) / r ] × (1 + r)
Example: For ₹5,000 monthly at 12% annual return for 10 years: FV = 5000 × [ ((1 + 0.01)^120 - 1) / 0.01 ] × 1.01 = ₹11,61,695
Frequently Asked Questions About SIP
Most mutual funds in India allow SIP starting from ₹500 per month. However, some funds may have higher minimums like ₹1,000 or ₹2,000. There's no maximum limit - you can invest as much as you want. For beginners, starting with ₹2,000-₹5,000 monthly is recommended to build a disciplined investment habit.
For equity mutual funds, a minimum of 5-7 years is recommended, though 10+ years is ideal to ride out market volatility and benefit from compounding. For debt funds, 3-5 years works well. The longer you stay invested, the better your returns due to the power of compounding. SIP is best suited for long-term wealth creation goals like retirement, children's education, or buying a house.
Yes, 12% is a conservative estimate for equity mutual funds based on historical data. Indian equity funds have delivered 12-15% CAGR over 10-15 year periods. However, returns vary based on market conditions, fund selection, and investment period. Debt funds typically offer 6-8% returns. Always remember that past performance doesn't guarantee future results, and actual returns may be higher or lower.
Neither is universally better - it depends on your situation. SIP is better when you have regular income, want to avoid market timing risk, or are investing during volatile markets. Lumpsum works better when you have idle capital, markets are undervalued, or you're investing for very long periods (15+ years). Many investors use both: SIP for regular savings and lumpsum for windfalls like bonuses.
Yes, SIP can be stopped, paused, or modified anytime without penalties. Mutual funds don't have lock-in periods (except ELSS tax-saving funds with 3-year lock-in). You can also increase or decrease your SIP amount as your income changes. However, stopping SIP during market downturns defeats the purpose of rupee cost averaging - it's better to continue investing through all market conditions.
Tax treatment depends on the fund type and holding period. For equity funds: gains above ₹1 lakh per year are taxed at 10% LTCG (held >1 year) or 15% STCG (held <1 year). For debt funds: gains are taxed as per your income tax slab. ELSS SIP investments qualify for ₹1.5 lakh deduction under Section 80C. Each SIP installment is treated as a separate investment for tax calculation. Consult a tax advisor for personalized advice.