SIP Calculator
Calculate returns from SIP or plan a future goal with systematic investment
| Year | Invested | Returns | Total Value |
|---|---|---|---|
| 1 | ₹1,20,000 | ₹8,093 | ₹1,28,093 |
| 2 | ₹2,40,000 | ₹32,432 | ₹2,72,432 |
| 3 | ₹3,60,000 | ₹75,076 | ₹4,35,076 |
| 4 | ₹4,80,000 | ₹1,38,348 | ₹6,18,348 |
| 5 | ₹6,00,000 | ₹2,24,864 | ₹8,24,864 |
| 6 | ₹7,20,000 | ₹3,37,570 | ₹10,57,570 |
| 7 | ₹8,40,000 | ₹4,79,790 | ₹13,19,790 |
| 8 | ₹9,60,000 | ₹6,55,266 | ₹16,15,266 |
| 9 | ₹10,80,000 | ₹8,68,215 | ₹19,48,215 |
| 10 | ₹12,00,000 | ₹11,23,391 | ₹23,23,391 |
How SIP Returns Are Calculated
P = Monthly SIP amount | r = Monthly rate (annual ÷ 12 ÷ 100) | n = Total months
This formula calculates the future value of a series of equal monthly investments, assuming returns are compounded monthly.
The inflation-adjusted value shows what your corpus would be worth in today's purchasing power, assuming 6% annual inflation.
Frequently Asked Questions
What is SIP?
SIP (Systematic Investment Plan) is a method of investing a fixed amount regularly in mutual funds. It helps build wealth over time through rupee cost averaging and the power of compounding.
What is the minimum SIP amount?
Most mutual funds allow SIPs starting from ₹500 per month. Some funds may have a minimum of ₹100 or ₹1,000.
Is SIP better than lumpsum?
SIP reduces timing risk through rupee cost averaging — you buy more units when prices are low and fewer when high. Lumpsum can outperform in a consistently rising market, but SIP is generally safer for most investors.
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 monthly investment, r is monthly return rate, and n is total months.
Should I increase my SIP every year?
Yes! A step-up SIP (increasing SIP by 10-15% annually) can significantly boost your corpus. Even a small annual increase compounds dramatically over 15-20 years.