📈 SIP Calculator – Mutual Fund Returns Estimator

Calculate how much your monthly SIP can grow over time. See the power of compounding with mutual fund investments.

Enter SIP Details

₹
%
Yrs

📊 SIP Growth Estimate

Total Corpus (Maturity Value)
₹11,61,695
Invested
52%
Amount Invested
Est. Returns
Total Invested₹6,00,000
Estimated Returns₹5,61,695
Total Corpus₹11,61,695
Compare with FD →

What is SIP (Systematic Investment Plan)?

A Systematic Investment Plan (SIP) is a method of investing a fixed amount in a mutual fund scheme at regular intervals (usually monthly). It is one of the most disciplined and effective ways to build long-term wealth in India, harnessing the power of compounding and rupee cost averaging.

Unlike a lump-sum investment, SIP allows you to invest regularly regardless of market conditions. When markets are down, you buy more units; when markets are up, you buy fewer units — this averages out your cost over time.

SIP Formula

FV = P × [(1 + r)^n - 1] / r × (1 + r) Where: FV = Future Value (Maturity Amount) P = Monthly SIP Amount r = Monthly Rate of Return (Annual Rate ÷ 12) n = Total Number of Months (Years × 12)

📌 Example

Monthly SIP: ₹5,000 | Return: 12% p.a. | Duration: 10 years

Monthly rate r = 12% / 12 = 1% = 0.01 | Months n = 120

FV = 5000 × [(1.01)^120 – 1] / 0.01 × 1.01 = ₹11,60,454

Total invested = ₹6,00,000 | Gains = ₹5,60,454

Benefits of SIP Investment

  • Rupee Cost Averaging: Automatically buy more when markets fall and less when markets rise.
  • Power of Compounding: Your returns generate returns over time — the longer you invest, the bigger the impact.
  • Disciplined Saving: Automate your investments and build wealth without emotional decision-making.
  • Flexibility: Start with as little as ₹500/month and increase as your income grows.
  • Tax Efficiency: ELSS mutual funds via SIP qualify for Section 80C deduction (up to ₹1.5L).

Frequently Asked Questions – SIP

What is the minimum SIP amount? +
Most mutual funds allow SIP starting from ₹500 per month. Some funds allow ₹100/month. There is no maximum limit.
Is SIP better than FD? +
SIP in equity mutual funds historically returns 12–15% CAGR, much higher than FD's 6–8%. However, SIP returns are not guaranteed and carry market risk. FD is safer but gives lower returns. Read our SIP vs FD comparison.
Can I stop SIP anytime? +
Yes, you can pause or stop your SIP at any time without penalty (except ELSS funds which have a 3-year lock-in). Your existing investments remain in the fund.
Is SIP return guaranteed? +
No, SIP returns depend on market performance and are not guaranteed. The expected return rate in our calculator is an assumption. Historically, Nifty 50 index funds have delivered 12–14% CAGR over 10+ year periods.

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