What is a SIP calculator?
A Systematic Investment Plan (SIP) lets you invest a fixed amount in a mutual fund every month, just like a recurring deposit — but your money is invested in the market. Because each instalment compounds for the time it stays invested, small monthly amounts can build a large corpus over 10, 15 or 20 years. This SIP calculator estimates that final value, splits it into the money you put in and the returns you earned, and shows the growth year by year.
How to use this calculator
- Choose Monthly SIP or Lumpsum (one-time investment).
- Enter your monthly amount, the return you expect each year, and how many years you plan to stay invested.
- Optional: add an annual step-up if you plan to raise your SIP every year, and an inflation rate to see what the final amount is worth in today's money.
- Tap any bar in the chart to see the invested amount and returns for that year. The link in your address bar saves your inputs, so you can share or bookmark the result.
SIP formula
FV = P × [((1 + i)n − 1) ÷ i] × (1 + i)
- P = monthly SIP amount
- i = monthly rate of return = annual return ÷ 12 ÷ 100
- n = number of monthly instalments
The extra × (1 + i) is there because SIP instalments are invested at the start of each month. For a lumpsum, the formula is simpler: FV = P × (1 + r)t, with r as the yearly return and t in years.
Example
Investing ₹10,000 a month for 10 years at an expected 12% a year: i = 0.01 and n = 120. The future value works out to about ₹23.23 lakh. You invest ₹12 lakh in total, so roughly ₹11.23 lakh comes from returns. Stretch the same SIP to 20 years and it grows to nearly ₹1 crore. That's the power of compounding — time in the market matters more than the amount.
Tips to get more from your SIP
- Start early. Every extra year of compounding adds more than the year before it.
- Step up yearly. Raising your SIP with each salary hike keeps your savings rate growing.
- Stay invested in falls. Market dips buy more units at lower prices — stopping a SIP then hurts returns.
- Choose direct plans for lower expense ratios, and review your funds once a year.
Remember that mutual fund returns are not guaranteed. Use this calculator to set goals and compare scenarios, not as a promise of future performance.
Disclaimer: Results are estimates for educational purposes only and are not financial, investment or tax advice. Please verify with your bank, broker or a SEBI-registered adviser before acting. Read the full disclaimer.