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SIP Calculator

Calculate returns on Systematic Investment Plan (SIP) in mutual funds

SIP Details

Enter SIP details and click Calculate

Total Value at Maturity

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Total Invested

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Estimated Returns

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How to Use

  1. Monthly Investment — enter the SIP amount you plan to invest each month (e.g., ₹5,000).
  2. Expected Return Rate — enter the expected annual return (e.g., 12% for equity mutual funds).
  3. Investment Duration — enter how many years you plan to invest (e.g., 15 years).
  4. View Results — instantly see Total Invested, Estimated Returns, and Maturity Value.

What is a SIP Calculator?

A SIP (Systematic Investment Plan) Calculator estimates the future value of regular monthly investments in mutual funds. It uses the power of compounding to project how your money grows over time — showing why starting early matters far more than starting with a large amount.

SIP Formula

SIP returns are calculated using the Future Value of an annuity formula:

FV = P × [(1 + r)ⁿ – 1] / r × (1 + r)

  • P = Monthly SIP amount
  • r = Monthly return rate (Annual rate ÷ 12 ÷ 100)
  • n = Total number of months (Years × 12)

Why SIP is the Preferred Way to Invest in Mutual Funds

Rupee Cost Averaging: Because you invest a fixed amount every month, you automatically buy more units when the market is down and fewer when it is up. This averages out your purchase cost over time and reduces the impact of market volatility.

Power of Compounding: Your returns earn returns. A ₹5,000/month SIP at 12% p.a. for 20 years produces ₹49.96 lakh — on a total investment of just ₹12 lakh. The remaining ₹38 lakh is pure compounding.

Discipline: A monthly auto-debit enforces the habit of saving before spending — the single most impactful personal finance behaviour.

Realistic SIP Return Expectations in India

  • Large-cap equity funds: 10–12% p.a. over 10+ years (historical average)
  • Flexi-cap / diversified equity: 12–14% p.a. over 10+ years
  • Debt mutual funds: 6–8% p.a.
  • Hybrid / balanced funds: 9–11% p.a.

Note: Mutual fund investments are subject to market risk. Past returns do not guarantee future performance.

SIP Examples

Monthly SIPDurationExpected ReturnMaturity Value
₹5,00010 years12%₹11.6 lakh
₹5,00020 years12%₹49.96 lakh
₹10,00015 years12%₹50.2 lakh
₹2,00025 years12%₹37.9 lakh

Frequently Asked Questions

Use 10–12% p.a. for large-cap equity funds (conservative to moderate), 12–15% for mid-cap, and 6–7% for debt funds. These are historical averages — actual returns vary. Never assume a guaranteed return for equity funds. For goals beyond 7 years, equity SIPs have historically delivered inflation-beating returns.

Equity SIPs are not recommended for goals under 3 years due to market volatility. For short-term goals, use debt fund SIPs or recurring deposits instead. For medium-term goals (3–5 years), balanced/hybrid funds are a reasonable option.

Yes — most fund houses allow a SIP pause of 1–3 months without penalty. You can also stop (cancel) a SIP anytime. The invested units remain invested and continue to grow — only new investments stop.

When markets fall, your fixed monthly amount buys more units at lower prices. When markets rise, you buy fewer units at higher prices. Over time, this averages your cost of purchase — called rupee cost averaging — reducing the impact of market timing on returns.

No — SIPs in equity mutual funds do not guarantee returns. Returns depend on market performance. However, historically, disciplined equity SIPs held for 10+ years have rarely delivered negative returns. The longer the horizon, the more the volatility smooths out.

Lump-sum invests the entire amount at once — timing matters greatly. SIP invests in regular installments — timing matters less due to rupee cost averaging. For most salaried investors without a large corpus, SIP is the practical and psychologically easier approach.

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