SIP Calculator – Estimate Your Mutual Fund Returns Instantly
A SIP Calculator estimates the maturity value of your monthly mutual fund investments using compound interest.
SIP Calculator
Move the sliders or enter your own numbers directly and results will update immediately. Change the payment frequency or add an annual step-up to plan a growing SIP.
What Is a SIP Calculator?
A SIP Calculator is a simple online tool that helps you estimate how much your mutual fund investments could grow over time. It calculates based on your monthly investment amount, expected returns, and investment period.
Benefits of using a SIP Calculator
- Quick estimate: You can get an instant view of how much your SIP investment could grow over time based on your inputs.
- No calculations: The calculator automatically does the math, saving you time and effort.
- Compare options: Adjust the investment amount, duration, or expected return to compare different outcomes.
- Plan goals: Estimate the SIP amount needed to work towards financial goals such as retirement, education, or wealth creation.
- Free to use: You can use the calculator anytime, as often as you need, without incurring any charges.
Note: A SIP Calculator provides only an estimate. Actual returns may vary based on market performance and fund performance.
How Does the SIP Calculator Work?
A SIP Calculator estimates how your monthly investments can grow over time through compounding, based on your investment amount, duration, and expected returns.
SIP Formula
FV = P × (((1+i)^n – 1) / i) × (1+i)
Variable
Meaning
FV
Future value or estimated maturity amount
P
Monthly SIP amount
I
Monthly rate of return
N
Total number of SIP instalments
For example, if you invest ₹5,000 per month for 10 years at an expected return of 12% p.a., your estimated maturity value may be around ₹11.6 lakh.
Step-by-step example
Input
Value
Monthly SIP
₹5,000
Duration
10 years
Expected Return
12% p.a.
Total Invested
₹6,00,000
Estimated Returns
₹5,61,695
Estimated Total Value
₹11,61,695
The calculator performs this calculation automatically, so you only need to enter your SIP amount, tenure, and expected return.
SIP Returns – Illustrative Scenarios
The table below shows sample SIP returns at an assumed annual return of 12% p.a. These figures are for illustration only and are not guaranteed.
Monthly SIP
Duration
Expected Return
Invested Amount
Estimated Maturity Value
₹500
5 years
12% p.a.
₹30,000
₹41,243
₹1,000
10 years
12% p.a.
₹1,20,000
₹2,32,339
₹5,000
15 years
12% p.a.
₹9,00,000
₹25,22,880
₹10,000
20 years
12% p.a.
₹24,00,000
₹99,91,479
₹25,000
25 years
12% p.a.
₹75,00,000
₹4,74,40,877
Disclaimer: These values are illustrative. Mutual fund returns are market-linked and not guaranteed.
How to Use the SIP Calculator
Follow these simple steps to estimate your SIP returns:
Enter your monthly SIP amount
Add the amount you plan to invest every month.
Choose your investment duration
Select how long you want to continue your SIP.
Enter expected annual return
Use a realistic return assumption based on the mutual fund category.
View your estimated corpus
The calculator shows your invested amount, estimated returns, and maturity value.
Compare different scenarios
Increase or decrease the SIP amount, tenure, or return rate to plan better.
Pro Tip: Use conservative return assumptions when planning important goals. Kindly note that equity mutual funds can deliver higher long-term growth but also carry higher short-term volatility.
Step-Up SIP Calculator
A Step-Up SIP lets you increase your SIP amount every year. This can help align your investments with salary hikes, income growth, and rising financial goals.
For example, compare a flat SIP of ₹5,000 per month with a SIP that increases by 10% every year.
SIP Type
Duration
Expected Return
Total Invested
Estimated Value
Flat SIP
10 years
12% p.a.
₹6,00,000
₹11,61,695
10% Step-Up SIP
10 years
12% p.a.
₹9,56,245
₹16,87,163
A Step-Up SIP can create a larger corpus because both your investment amount and compounding base increase over time.
Calculate Step-Up SIPBenefits of Investing via SIP
Rupee Cost Averaging
SIPs invest a fixed amount regularly. You may buy more units when prices are low and fewer when prices are high. As a result, it helps reduce the impact of market fluctuations.
Power of Compounding
Returns earned on your investments can generate additional returns over time. The earlier you start, the more time your money has to grow.
Disciplined Saving
SIPs encourage regular investing through fixed monthly contributions. This helps build a consistent saving and investing habit.
Flexibility
Most SIPs can be increased, reduced, paused, or stopped when needed. Thus, giving you the flexibility to invest according to your goals and budget.
Low Minimum Investment
You can start a SIP with a small monthly amount, making mutual fund investing accessible even for first-time investors.
Diversification
Mutual funds invest across multiple securities, helping spread risk and providing exposure to different asset classes and sectors.
SIP vs Lump-sum – Key Differences
Parameter
SIP
Lump-sum
Investment mode
Monthly or periodic
One-time investment
Market timing
Less important
More important
Risk impact
Spread across time
Invested at one market level
Suitable for
Salaried or regular-income investors
Bonus, windfall, or surplus cash
Minimum amount
Often starts from small amounts
Usually higher than SIP
Best use case
Goal-based disciplined investing
Deploying idle capital
Which is better: SIP or lump-sum?
SIP may be better for investors who want to invest gradually and reduce the pressure of market timing. Lump-sum investing may suit investors who already have surplus funds and a long investment horizon. The better choice depends on your cash flow, risk appetite, and goal timeline.
Types of SIP in India
Regular SIP
A Regular SIP allows you to invest a fixed amount on a fixed date. It is best for salaried investors who want a simple monthly investing habit. Best for: First-time investors and salaried professionals.
Flexible SIP
A Flexible SIP allows you to change the SIP amount based on your income, expenses, or market conditions. Best for: Investors with variable income.
Step-Up SIP
A Step-Up SIP increases your monthly investment amount periodically, usually every year. Best for: Investors expecting income growth.
Perpetual SIP
A Perpetual SIP continues without a fixed end date until the investor stops it. Best for: Long-term wealth creation.
Trigger SIP
A Trigger SIP invests when a specific market condition, NAV level, or event occurs. Best for: Experienced investors who understand market-linked triggers.
How to Start a SIP
You can start a SIP online in a few simple steps.
Download the Purse+ Mobile App
Install the Purse+ app on your smartphone and sign in or create your account.
Open a Demat Account
Complete the KYC process by submitting the required documents to open your Demat account.
Visit the NFO Section
From the app dashboard, navigate to the NFO section to view the available New Fund Offers.
Select an NFO
Review the available NFOs and choose the one that matches your investment goals.
Complete Your Investment
Select Buy for a one-time investment or SIP for regular investments, enter the investment amount, and complete the transaction securely.
Factors Affecting SIP Returns
Investment Amount
A higher monthly SIP amount can help build a larger corpus, assuming the same duration and return rate.
Investment Duration
Longer duration gives compounding more time to work. Even small SIPs can grow meaningfully over long periods.
Expected Rate of Return
Returns vary by fund category. Equity funds, debt funds, and hybrid funds have different risk-return profiles.
Inflation
Inflation reduces the purchasing power of your future corpus. Always consider real returns, not just nominal returns.
Important: Past returns are not guaranteed. Mutual fund investments are subject to market risks.
Tax on SIP Investments – LTCG and STCG
SIP investments are taxed based on the type of mutual fund and the holding period of each SIP instalment. Each monthly SIP instalment has its own purchase date and holding period.
Fund Type
Holding Period
Tax Treatment
Equity-oriented mutual fund
Less than or equal to 12 months
20% STCG
Equity-oriented mutual fund
More than 12 months
12.5% LTCG above ₹1.25 lakh
Debt-oriented / specified mutual fund
As applicable under Section 50AA
Taxed as per slab rate in specified cases
ELSS
3-year lock-in
Equity fund taxation after lock-in
Note: Tax rules may change. Please consult a qualified tax advisor before making investment or redemption decisions.
SIP for Different Financial Goals
SIP can be used to plan for different long-term and medium-term goals. The examples below use assumed returns and are only for illustration.
Retirement Planning
Target Amount
Duration
Expected Return
Estimated Monthly SIP
₹5 crore
25 years
12% p.a.
₹26,349
Best for: Long-term investors who want to build a retirement corpus.
Child Education
Target Amount
Duration
Expected Return
Estimated Monthly SIP
₹25 lakh
12 years
12% p.a.
₹7,758
Best for: Parents planning for higher education expenses.
Home Down Payment
Target Amount
Duration
Expected Return
Estimated Monthly SIP
₹15 lakh
7 years
10% p.a.
₹12,299
Best for: Investors planning a house purchase.
Wealth Creation
Target Amount
Duration
Expected Return
Estimated Monthly SIP
₹1 crore
20 years
12% p.a.
₹10,009
Best for: Investors focused on long-term capital growth.
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Got Questions?
View All FAQsA SIP Calculator is an online tool that estimates the future value of your monthly SIP investment based on amount, duration, and expected return.
No. SIP Calculator results are estimates. Actual returns depend on market performance and mutual fund scheme performance.
Many mutual funds allow SIPs from ₹500 per month, while some initiatives allow smaller SIP amounts such as ₹250.
Yes. You can use the calculator to estimate ELSS SIP returns. However, keep in mind that ELSS has a 3-year lock-in period.
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