A Systematic Investment Plan (SIP) invests a fixed amount into a mutual fund every month. This calculator shows the estimated maturity value, total invested and wealth gained — using the correct monthly-compounding formula, not a simplified approximation.
About the SIP Calculator
SIPs harness the power of compounding — small monthly investments grow into large corpus over time because each instalment earns returns from the day it is invested. Even a modest ₹5,000/month SIP at 12% p.a. for 20 years creates a corpus of over ₹49 lakhs against ₹12 lakhs invested.
Formula used:
Frequently Asked Questions
Is SIP return guaranteed?
No. Mutual fund returns depend on market performance. The rate you enter is an assumption; actual returns will vary.
What is a good expected return rate?
Long-term Indian equity mutual funds have historically delivered 10–14% p.a. CAGR, but past performance does not guarantee future results. Use a conservative 10–12% for planning.
Can I change my SIP amount later?
Yes. You can top-up, pause or stop a SIP anytime on most platforms. Use the Step-Up SIP calculator to see how annual increases boost your corpus.