SIP Calculator

Systematic Investment Plan Calculator - Calculate your mutual fund returns

%
Yr

Total Value

₹11.62 Lakh

Invested Amount

₹6.00 Lakh

Est. Returns

₹5.62 Lakh

How does SIP Calculator work?

A SIP calculator uses the compound interest formula to project the future value of your systematic investments. It takes into account your monthly investment amount, the expected rate of return, and the investment duration.

Formula: FV = P × ({[1 + i]^n – 1} / i) × (1 + i)

Where: FV = Future Value, P = Monthly Investment, n = Total months, i = Periodic rate of interest

Frequently Asked Questions

What is a good SIP amount to start with?

You can start with as low as ₹500 per month. The key is consistency. A small amount invested regularly over a long period can create significant wealth due to compounding.

Are SIP returns taxable?

Yes, returns are subject to capital gains tax. Long Term Capital Gains (LTCG) above ₹1 Lakh in a financial year are taxed at 10% without indexation. Short Term Capital Gains (STCG) are taxed at 15%.

Mutual Fund Returns Insight 2025

Average Annual Returns Category-wise

Category 3 Years 5 Years 10 Years
Large Cap Funds 12% - 15% 11% - 14% 10% - 12%
Mid Cap Funds 15% - 20% 14% - 18% 13% - 16%
Small Cap Funds 20% - 30% 18% - 25% 15% - 20%
ELSS (Tax Saving) 14% - 18% 12% - 16% 11% - 14%

* Returns are historical and not guaranteed. Updated Jan 2025.

SIP vs Lumpsum Investment

SIP (Systematic Investment Plan)

  • Invest small amounts regularly (e.g., ₹500/month).
  • Benefit from Rupee Cost Averaging (buy more units when market is low).
  • Disciplined investing habit.
  • Best for salaried individuals.

Lumpsum (One-time)

  • Invest a large amount at once.
  • Best when market valuations are low.
  • No rupee cost averaging benefit.
  • Suitable for bonus/windfall income deployment.

Power of Compounding: ₹5,000 Monthly SIP @ 12%

Years Total Invested Market Value Absolute Return
5 Years ₹3,00,000 ₹4,12,432 37%
10 Years ₹6,00,000 ₹11,61,695 93%
15 Years ₹9,00,000 ₹25,22,880 180%
20 Years ₹12,00,000 ₹49,95,740 316%
30 Years ₹18,00,000 ₹1.76 Crore 880%

Insight: Notice how doubling the time (15y vs 30y) increases wealth by 7x! That's the magic of compounding.

Important Disclaimer

The calculations provided by this tool are for illustrative purposes only and do not constitute financial advice. Mutual fund investments are subject to market risks. Actual returns may vary significantly from projections. Please consult a qualified financial advisor before making investment decisions.