SIP Calculator

How to use SIP Calculator

1. Enter the amount you plan to invest each month.
2. Enter an expected annual return and the number of years.
3. Optionally add a yearly step-up percentage if you plan to raise the SIP amount each year.
4. Review the estimated value, the amount invested, the estimated returns and the yearly table and chart.

What a SIP is

A systematic investment plan, or SIP, is a way of investing a fixed amount at regular intervals, usually monthly, into a fund. Because the amount is fixed, you buy more units when prices are low and fewer when prices are high. This habit, often called rupee-cost or dollar-cost averaging, reduces the pressure of trying to time the market and builds the discipline of investing regularly.

The calculator on this page is a planning aid. You supply a constant annual return, and it works out what a series of equal monthly instalments would grow to.

Reading the result

The invested amount is simply your instalments added together. The estimated returns are the extra growth above that amount. In the early years returns are small compared with contributions, but compounding makes the returns portion grow faster over time. That is why starting early, even with a small amount, tends to matter more than a late start with a larger amount.

The step-up option raises your instalment once a year by the percentage you choose. Many people do this when their salary increases, and it can make a large difference over a long period.

Using estimates responsibly

• Treat every figure as an illustration, not a promise.
• Run a pessimistic case with a lower return and see whether your goal is still reachable.
• Account for inflation: future money buys less than money today.
• Check expense ratios and taxes on the actual product you choose.
• Match investment time to the goal: money needed within a few years usually should not depend on volatile assets.

Limits

This calculator uses a constant return, equal monthly instalments and no fees or taxes. It does not look up any fund and gives no recommendation. For personal advice, speak to a licensed financial adviser.

Why use this sip calculator tool

• Invested vs returns. See clearly how much of the final value is your own money and how much is assumed growth.
• Optional step-up. Model raising your monthly amount by a fixed percentage each year as income grows.
• Year-by-year view. A table and bar chart show how the balance builds, and how returns start to dominate in later years.
• Clear caution. Results are labelled as assumptions, because market-linked returns are never guaranteed.

Frequently asked questions

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