SIP Calculator
See what a fixed monthly investment could grow into over the years — how much you put in, how much growth could add, and the total at the end. The return rate is your assumption, so try more than one and plan with your eyes open.
Your plan
Your result
The gap between the two lines is growth — it widens with time, which is the whole point of starting early.
Please note: markets do not grow in a straight line. This calculator shows what a steady return would produce — it is an estimate for planning, not a guarantee and not investment advice. Actual SIP returns vary and can be lower, or even negative over short periods.
What is a SIP?
SIP stands for Systematic Investment Plan. Instead of waiting to collect a large sum, you invest a fixed amount every month — most commonly into a mutual fund. ₹2,000 a month feels manageable in a way that ₹2,40,000 at once does not, and the monthly habit quietly does two jobs: it builds discipline, and it spreads your buying across market ups and downs instead of betting everything on one day.
The real engine, though, is time. In the early years your balance is mostly your own money. Later, the growth itself starts generating growth — compounding — and the gains can overtake the instalments. The chart above is drawn to make that bend visible.
The SIP formula, explained
Maturity value = P × [((1 + i)n − 1) ÷ i] × (1 + i)
- P — your monthly investment.
- i — the monthly return: the expected yearly return divided by 12, then by 100. A 12% yearly assumption becomes 0.01 per month.
- n — the number of months: years × 12.
- The final × (1 + i) is because each instalment is treated as invested at the start of the month, so it earns one extra month of growth.
If the return is 0%, the maturity value is simply P × n — just your own money back.
A worked example
Take ₹5,000 a month at an assumed 12% per year for 10 years:
- You invest: ₹6,00,000 (₹5,000 × 120 months)
- Estimated gains: ₹5,61,695
- Estimated maturity value: ₹11,61,695
- Halfway, at 5 years: you have put in ₹3,00,000 and the value stands at about ₹4,12,432.
- Notice the last year alone adds roughly ₹1,87,000 of value — more than the first three years combined. That back-loaded shape is compounding, and it is why starting five years earlier usually beats investing a little more later.
Now the honest part: rerun the same plan at 8% and at 10%. The maturity value drops a lot. A plan that only works at the happiest return is not a plan — it is a hope. Use the lower figure for your decisions.
How to use this calculator
- Enter a monthly amount you could genuinely continue in a bad month, not just a good one.
- Type the yearly return you want to assume — and afterwards, try a lower one.
- Set the years until the goal: a child's college, a house down payment, retirement.
- Compare “total invested” with “estimated gains” to see how much of the final amount is your discipline and how much is time.
- Use “Copy result” to save the summary next to your goal note.
Frequently asked questions
What is a SIP?
SIP stands for Systematic Investment Plan. Instead of investing one large amount at once, you invest a fixed amount every month — commonly into a mutual fund. The habit matters more than timing the market: you invest in good months and bad months alike, and the money gets many years to grow.
Are SIP returns guaranteed?
No. A SIP calculator works on one steady return rate that you type in, but real markets rise and fall, so actual returns are never exactly that rate and are never guaranteed. Treat the maturity value as an illustration of what steady growth could look like, not as a promise. For decisions with real money, speak to a SEBI-registered investment adviser.
How is the SIP maturity value calculated?
The calculator uses the future-value formula FV = P × [((1 + i)^n − 1) ÷ i] × (1 + i), where P is the monthly investment, i is the monthly return (expected yearly return divided by 12 and then by 100), and n is the number of months. It assumes each instalment is invested at the start of the month.
What return rate should I enter?
Enter the rate as your own assumption, not as a fact. People often try 10–12% a year to illustrate long-term equity mutual funds, and lower rates like 6–7% for debt-oriented options — but past performance does not guarantee future returns. Try a lower rate as well, so you are not planning only on the happiest outcome.
Can I use this calculator for other monthly savings?
Yes, for any rough planning where money goes in monthly and grows at a roughly steady rate — for example comparing a monthly savings habit against a goal amount. The exact interest method of a bank RD or a specific fund will differ in detail, so use this for estimates and direction, not exact figures.