SIP Calculator — Estimate Your Mutual Fund SIP Returns
See what your monthly SIP could grow into. Enter your monthly investment, expected annual return and tenure to estimate the maturity value, total invested and potential gains.
Estimated maturity value
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Total invested
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Estimated gains
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Year-wise growth
Invested amount vs estimated gains, year by year.
How a SIP works
A Systematic Investment Plan (SIP) puts a fixed amount into a mutual fund every month. Each instalment buys units at the NAV (net asset value — the daily price of one fund unit). When markets fall, your fixed amount buys more units. When markets rise, it buys fewer. This automatic balancing is called rupee cost averaging. Over many years, steady investing plus compounding can turn a modest monthly amount into serious wealth.
The SIP formula
This calculator uses the standard formula for the future value of monthly investments — assuming each one goes in at the start of the month:
FV = P × [((1 + i)ⁿ − 1) / i] × (1 + i)
Here P is your monthly investment. i is the monthly return (annual return ÷ 12 ÷ 100). n is the total number of instalments (years × 12). "Estimated gains" is simply the maturity value minus everything you put in.
Worked example
Say you put in ₹10,000 every month for 10 years, expecting 12% per year. That gives a monthly rate i = 0.01 and n = 120 instalments:
FV = 10,000 × [((1.01)¹²⁰ − 1) / 0.01] × 1.01 ≈ ₹23.23 lakh
You put in ₹12 lakh in total (10,000 × 120). The estimated gains come to about ₹11.23 lakh — nearly as much as you invested. That is a decade of compounding at work.
Things to keep in mind
- Returns are estimates, not promises. Mutual funds move with the market. Try the calculator at 8%, 10% and 12% to see a realistic range of outcomes.
- Time beats timing. Stretching a SIP from 10 to 15 years usually adds more wealth than increasing the monthly amount, because compounding does its heaviest work in the later years.
- Raise your SIP every year. Increasing it by 10% a year (a step-up SIP) can add 30–40% to your final corpus compared with a flat SIP.
- Tax on withdrawal. On equity funds, gains on units held over 12 months are taxed at 12.5% (LTCG) above ₹1.25 lakh a year; units sold within 12 months face 20% (STCG). Debt fund gains are taxed at your income slab rate.
- Costs. Funds charge an expense ratio (typically 0.1–2% a year), already baked into the NAV. So the return you type in should be after these costs.
SIP Calculator FAQs
What is a good expected return to use in a SIP calculator?
For long-term equity mutual fund SIPs, most planners use 10–12% per year for estimates. This is based on how Indian equities have performed over long periods. For cautious planning, use 8–10% instead. And remember — no return is ever guaranteed.
Does a SIP guarantee returns?
No. A SIP is only a way of investing; your money still goes into market-linked mutual funds. This calculator shows what you could get at the assumed return, but real results can be higher or lower.
How are SIP returns taxed in India?
For equity mutual funds: gains on units sold within 12 months are short-term capital gains (STCG), taxed at 20%. Gains on units held longer than 12 months are long-term capital gains (LTCG), taxed at 12.5% on gains above ₹1.25 lakh in a financial year. Debt fund gains are taxed at your income slab rate.
Can I pause or stop my SIP?
Yes. Most fund houses let you pause for a few months or stop entirely, free of charge. Your existing units stay invested and keep growing — only future instalments stop. Just note that ELSS (tax-saving) funds lock in every instalment for 3 years.
Is SIP better than a lump sum investment?
For salaried investors putting money in from monthly income, a SIP is usually the natural fit — and it removes the stress of timing the market. A lump sum can win if markets rise steadily right after you invest, but guessing the timing is risky. Many people use both.
What is rupee cost averaging?
With a fixed monthly SIP, you automatically buy more fund units when the NAV (net asset value — the daily price of one fund unit) is low, and fewer when it is high. Over time, your average purchase cost evens out. That is the core benefit of a SIP over trying to time lump sums.