📈 Finance & Math
SIP Calculator
Calculate your Systematic Investment Plan returns — see your wealth grow through the power of compounding.
₹5,000
12%
10 yrs
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Total Value
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Total Invested
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Est. Returns
How the SIP Calculator works
The SIP Calculator uses the standard SIP formula to compute your maturity amount:
M = P × ( [(1 + r)ⁿ – 1] / r ) × (1 + r)
Where M = maturity value, P = monthly investment, r = monthly rate (annual rate ÷ 12 ÷ 100), n = number of months. Results are indicative — actual returns vary based on market performance.
Frequently Asked Questions
People also ask — answers optimized for search engines and voice queries.
What is a SIP (Systematic Investment Plan)?
A SIP is a method of investing a fixed amount in mutual funds regularly — typically monthly — rather than a lump sum. It benefits from rupee cost averaging and the power of compounding over time.
How is SIP return calculated?
SIP returns use the formula: M = P × ({[1 + r]^n – 1} / r) × (1 + r), where M is maturity amount, P is monthly investment, r is monthly return rate, and n is number of months.
What is a good SIP return rate?
Historically, equity mutual fund SIPs have delivered 10–15% annual returns over long periods (10+ years). Debt fund SIPs typically return 6–8%. Actual returns depend on market conditions and fund selection.
Is SIP better than a lump sum investment?
SIP is generally better for salaried investors who invest regularly as it averages purchase cost over time (rupee cost averaging) and reduces the impact of market volatility. Lump sum can outperform in consistently rising markets.
What is the minimum SIP amount?
Most mutual funds in India allow SIPs starting from ₹500 per month. Some special schemes allow SIPs as low as ₹100 per month.
How long should I invest in a SIP?
The longer the SIP tenure, the greater the compounding benefit. Financial advisors typically recommend a minimum of 5 years for equity SIPs, with 10–20 years being ideal for significant wealth creation.
Does this SIP calculator account for inflation?
This calculator shows nominal returns (before adjusting for inflation). To find real (inflation-adjusted) returns, subtract the expected inflation rate (typically 6–7% in India) from your expected return rate.
Can I increase my SIP amount over time?
Yes — a step-up SIP lets you increase your monthly investment by a fixed amount or percentage each year. This is a powerful strategy to align investment growth with income growth.