SIP Calculator
Calculate mutual fund SIP returns with monthly compounding. Plan systematic investments for India.
I want to
Expected inflation / year
Results
- Invested amount
- ₹12,00,000
- Est. returns
- ₹11,23,391
Total value
₹23,23,391
Invested vs corpus over time
Total invested
₹12,00,000
After maturity
₹23,23,391
| Year | Opening | Deposit | Returns | Closing |
|---|---|---|---|---|
| 1 | ₹0 | ₹1,20,000 | ₹8,093 | ₹1,28,093 |
| 2 | ₹1,28,093 | ₹1,20,000 | ₹24,339 | ₹2,72,432 |
| 3 | ₹2,72,432 | ₹1,20,000 | ₹42,644 | ₹4,35,076 |
| 4 | ₹4,35,076 | ₹1,20,000 | ₹63,272 | ₹6,18,348 |
| 5 | ₹6,18,348 | ₹1,20,000 | ₹86,515 | ₹8,24,864 |
| 6 | ₹8,24,864 | ₹1,20,000 | ₹1,12,707 | ₹10,57,570 |
| 7 | ₹10,57,570 | ₹1,20,000 | ₹1,42,220 | ₹13,19,790 |
| 8 | ₹13,19,790 | ₹1,20,000 | ₹1,75,476 | ₹16,15,266 |
| 9 | ₹16,15,266 | ₹1,20,000 | ₹2,12,949 | ₹19,48,215 |
| 10 | ₹19,48,215 | ₹1,20,000 | ₹2,55,176 | ₹23,23,391 |
About SIP
A Systematic Investment Plan (SIP) invests a fixed amount in a mutual fund at regular intervals. This calculator assumes monthly SIPs with returns compounded monthly — a standard planning assumption, not a guarantee.
Step-up increases your SIP once a year. Goal mode solves for the flat monthly amount needed to reach a target (step-up is off in goal mode).
Mutual fund returns are market-linked. Past performance does not guarantee future results. Does not include exit load or tax.
Last updated: 12 July 2026. Mutual fund returns are market-linked and not guaranteed — verify scheme documents on AMFI/AMC websites.
What is a Systematic Investment Plan (SIP)?
A SIP is a facility to invest a fixed amount at regular intervals (usually monthly) into a mutual fund scheme. Units are allotted based on the fund's net asset value (NAV) on each instalment date. SIPs are popular in India for salaried investors who want disciplined exposure to equity or debt markets without timing entry.
SEBI-regulated mutual funds must disclose risks in offer documents. SIP does not assure returns or protect against loss.
How SIP returns are calculated
FV = P × [((1+i)n − 1) / i] × (1+i)
P = monthly investment, i = monthly return rate (annual expected return ÷ 12 ÷ 100), n = number of months. The (1+i) factor assumes investment at the start of each month.
Worked example: ₹5,000/month at 12% expected return for 10 years → invested ₹6,00,000; estimated maturity ≈ ₹11,61,695 (returns ≈ ₹5,61,695).
Use goal mode to reverse-solve the monthly SIP for a target corpus, step-upto raise the instalment each year, and optional inflation to view maturity in today's rupees. The chart and year-wise schedule show how invested capital and corpus grow.
Key rules and features
SIP mandates can be registered for a fixed period or perpetually until cancelled. Step-up SIPs increase the instalment annually. Flexi-SIP allows varying amounts within limits set by the fund house.
Exit load may apply if units are redeemed within a specified period from the scheme information document. Expense ratio is deducted from fund NAV daily.
Tax treatment
Redemption of equity or debt mutual fund units triggers capital gains tax per holding period and fund category under the Income Tax Act. ELSS SIPs qualify for Section 80C deduction but have a 3-year lock-in.
SIP vs Lumpsum vs SWP
| Feature | SIP | Lumpsum | SWP |
|---|---|---|---|
| Cash flow | Invest fixed amount monthly | Invest entire amount once | Withdraw fixed amount monthly |
| Typical use | Build wealth from salary savings | Deploy bonus, inheritance or sale proceeds | Regular income in retirement |
| Market risk | Rupee-cost averaging reduces timing risk | Full exposure from day one | Sequence risk if markets fall early |
| Returns | Not guaranteed — NAV-based | Not guaranteed — NAV-based | Depends on corpus and withdrawal rate |
Compare lumpsum and SWP calculators for one-time investment and withdrawal planning.
Who should use a SIP calculator?
Anyone planning monthly mutual fund investments for goals 5–20 years away — retirement, education or wealth creation — who wants to see how instalments may compound at an assumed rate. Also useful to contrast SIP with bank RD returns.
Frequently asked questions about SIP
How is SIP return calculated?
This calculator uses the standard SIP future-value formula with monthly compounding: FV = P × [((1+i)^n − 1) / i] × (1+i), assuming each instalment is invested at the start of the month. P is monthly amount, i is monthly return rate, n is total months.
What is a good SIP return assumption?
Equity mutual funds have historically delivered wide ranges over long periods, but past performance is not indicative of future returns. Many planners use conservative assumptions (e.g., 10–12% for equity, lower for debt) for illustration only.
Is SIP return guaranteed?
No. SIPs invest in market-linked mutual fund units. NAV fluctuates daily. SEBI regulations require mutual funds to disclose that investments are subject to market risks.
SIP vs lumpsum — which is better?
SIPs suit regular earners who want disciplined investing without timing the market. Lumpsum may outperform if markets rise steadily after investment, but carries higher entry-timing risk. Use both calculators to compare scenarios.
Does SIP reduce tax?
SIP itself is not a tax-saving instrument unless you invest in an ELSS (tax-saving) mutual fund under Section 80C. Capital gains tax applies on redemption per holding period rules.
What is the minimum SIP amount?
Most fund houses allow SIPs from ₹100–₹500 per month depending on the scheme. There is no statutory minimum — check the scheme information document.
Can I stop or pause a SIP?
Yes. SIPs can typically be cancelled or paused through your distributor or AMC portal. Stopping does not affect units already allotted.
Does this calculator include exit load?
No. Exit load, expense ratio and securities transaction tax are not deducted. Redemption value will differ from projected maturity.
What is rupee-cost averaging?
When you invest a fixed amount regularly, you buy more units when NAV is low and fewer when NAV is high. Over time, your average purchase cost may smooth out market volatility — the main behavioural benefit of SIP.
How is SIP different from RD?
Bank RDs offer a contracted fixed rate. SIPs invest in mutual funds with variable NAV. Compare with our RD calculator for guaranteed deposit returns.
What is step-up SIP?
Step-up increases your monthly SIP once a year by a chosen percentage (for example 10%). Higher later contributions raise total invested amount and projected corpus. Goal mode uses a flat SIP (no step-up) so the required monthly amount is unambiguous.
How does goal mode work?
Enter the corpus you want, expected return and years. The calculator solves for the flat monthly SIP needed using the same future-value formula inverted: P = Goal ÷ ([((1+i)^n − 1) / i] × (1+i)).
What does inflation adjustment show?
It discounts the projected maturity to today’s purchasing power using your assumed inflation rate. Use it to check whether the corpus still meets a real-world goal after price rise.
Disclaimer: Projections are illustrative. Mutual fund investments are subject to market risks. Read all scheme-related documents carefully. Not investment advice.
Related calculators
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- FD Calculator
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- RD Calculator
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- PPF Calculator
Public Provident Fund maturity and year-wise schedule.
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