SIP Calculator
Project the future value of a systematic investment plan, with optional annual step-up.
Formula
FV = P × [((1+i)ⁿ − 1) / i] × (1+i)
Tips
- The expected return is an assumption, not a promise. Equity funds have historically averaged around 11–13% over long periods, but with years of double-digit losses along the way.
- A step-up of even 10% a year makes a dramatic difference over fifteen years — usually more than chasing a slightly better fund.
- Returns here are before tax. Equity fund gains above ₹1.25 lakh a year are taxed at 12.5% long term.
- This assumes contributions at the start of each month and a constant return. Real returns arrive unevenly, which matters most in the years just before you need the money.
Frequently asked questions
Is a SIP safer than investing a lump sum?
It spreads entry price across time, which reduces the risk of investing everything at a peak. Over long horizons in a rising market, lump-sum investing has often produced more. The real benefit of a SIP is behavioural: it is far easier to keep doing.