Maturity Amount
| Year | Invested (Cumulative) | Estimated Returns | Total Value |
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Step-up SIP Calculator
See how increasing your SIP amount every year (e.g. with your salary increment) boosts your final maturity value.
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About the SIP Calculator
A Systematic Investment Plan (SIP) lets you invest a fixed amount into a mutual fund at regular intervals — usually monthly. Because each instalment buys units at that day’s NAV, you automatically buy more units when markets dip and fewer when they peak. This averaging effect, combined with long holding periods, is why SIPs have become the default way Indian salaried investors build wealth.
This calculator projects the future value of your SIP using the future-value-of-annuity formula: FV = P × ((1+i)ⁿ − 1) / i × (1+i), where P is your monthly instalment, i the expected monthly return, and n the number of months. It answers the practical question: if I invest ₹X every month at an expected return of Y%, what could the corpus be in Z years?
The result separates your invested amount from estimated gains, so you can see the contribution compounding makes. Even modest monthly amounts grow surprisingly large over 15–20 years — the calculator makes that visible in seconds.
How to use the SIP Calculator
- 1 Enter the monthly amount you plan to invest (for example 5,000 or 10,000 rupees).
- 2 Enter the expected annual return. Diversified equity funds have historically delivered 10–12%; debt funds are lower but steadier.
- 3 Enter the investment period in years — the longer the horizon, the more compounding works in your favour.
- 4 Review the projected corpus, the amount you invested, and the estimated gains. Try different durations to see how the curve steepens.
Key features
Compounding projection
Future-value-of-annuity maths, monthly compounding, the standard method for SIP planning.
Invested vs gains split
Clearly separates the money you put in from the money compounding put in.
Scenario testing
Adjust amount, return, or years instantly to compare conservative and aggressive plans.
Step-up awareness
Results assume a level SIP; the tips explain how annual step-ups change the picture.
Who uses the SIP Calculator?
- Salaried investors planning retirement or children’s education goals.
- First-time mutual fund investors sizing their first monthly commitment.
- Financial advisors illustrating long-term projections to clients.
- Goal-based saving: house down payment, wedding, or foreign study corpus.
- Comparing what a 10-year versus 20-year discipline actually yields.
Tips and best practices
- Use realistic return assumptions. Large-cap and index funds have historically compounded around 10–12%; assuming 15–20% sets you up for disappointment.
- Increase your SIP by 5–10% every year as your salary grows. A step-up SIP can add crores to a 20-year plan versus a flat one.
- Stay invested through downturns. Stopping SIPs when markets fall locks in the loss of averaging — the cheapest units are bought exactly then.
- Equity SIPs need 7+ year horizons. For goals under 3 years, prefer debt funds or recurring deposits where volatility cannot derail the goal.
- Direct plans have lower expense ratios than regular plans; the 0.5–1% yearly difference compounds into a meaningful corpus gap.
- Do not chase last year’s best fund. Consistency of the category and of your own contributions matters more than short-term rankings.
Frequently asked questions
The projection uses FV = P × ((1+i)ⁿ − 1) / i × (1+i), with i the monthly return (annual ÷ 12) and n the number of instalments. Actual returns vary with market performance; the calculator shows an estimate at your chosen rate.
For long-horizon diversified equity, 10–12% annual is a common planning assumption; hybrid funds around 8–9%; debt funds 6–7%. Being conservative is safer than being optimistic.
Yes. SIPs invest in market funds, so short-term losses are possible. Historically, longer holding periods in diversified equity funds have reduced the probability of loss, which is why the horizon matters.
Most mutual funds accept SIPs from ₹500 per month, some from ₹100. Starting small and stepping up annually beats waiting to accumulate a large lump sum.
For salaried investors, SIPs match cash flow and average purchase cost, removing the temptation of timing the market. Lump sums can outperform in steadily rising markets, but most people earn monthly, so SIP is the practical default.
Nothing catastrophic — the instalment is simply skipped (some funds auto-cancel after repeated bounces, so keep the bank account funded). You can resume or make a top-up later.