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SIP Calculator - Calculate Systematic Investment Plan Returns

Free SIP calculator to estimate returns from your monthly mutual fund investments. Calculate future value, total investment, and wealth gained through systematic investment plans. For more advanced calculations try the Advanced SIP calculator.

₹500₹10,00,000
1%30%
1 Year40 Years

Investment Summary

Total Investment

₹6,00,000

5,000 × 120 months

Expected Future Value

₹11,61,695

@ 12% annual return

Wealth Gained

₹5,61,695

93.6% growth

Investment51.6%
Returns48.4%

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Disclaimer

This calculator is for informational and educational purposes only. It does not constitute financial or investment advice. Consult with a qualified financial advisor before making investment decisions.

What is SIP Calculator - Calculate Systematic Investment Plan Returns?

A SIP (Systematic Investment Plan) calculator is a financial tool that helps investors estimate the returns from their systematic investments in mutual funds. By investing a fixed amount regularly in mutual fund schemes, investors can benefit from rupee cost averaging and the power of compounding. SIP allows you to invest a predetermined amount at regular intervals (monthly, quarterly, or annually) in your chosen mutual fund scheme. When markets are low, your fixed investment buys more units, and when markets are high, it buys fewer units. This averaging effect helps reduce the impact of market volatility on your investments.

How to Use This Calculator

  1. Enter Monthly Investment: Input the amount you plan to invest every month
  2. Expected Annual Return: Enter the expected annual return rate (typically 8-15% for equity funds)
  3. Investment Period: Specify the number of years you plan to continue the SIP
  4. View Results: The calculator instantly shows your total investment, future value, and wealth gained

Formula Used

SIP Future Value Formula: FV = P × [((1 + r)^n - 1) / r] × (1 + r) Where: - FV = Future Value of the investment - P = Monthly SIP amount - r = Expected monthly rate of return (Annual return / 12 / 100) - n = Total number of months Tips for Successful SIP Investing: - Start Early: The sooner you start, the more you benefit from compounding - Stay Consistent: Continue your SIP even during market downturns - Increase Gradually: Step up your SIP amount as your income grows - Choose Wisely: Select mutual funds that align with your risk profile and goals - Review Regularly: Monitor your portfolio performance and rebalance if needed - Long-term Focus: SIPs work best over extended periods (5+ years)

Example Calculation

Example SIP Calculation: Monthly Investment: ₹5,000 Expected Annual Return: 12% Investment Period: 10 years Results: - Total Investment: ₹6,00,000 (₹5,000 × 120 months) - Expected Future Value: ₹11,61,695 - Wealth Gained: ₹5,61,695 - Total Returns: 93.6% This shows how disciplined monthly investing of just ₹5,000 can grow to over ₹11.6 lakhs in 10 years through the power of compounding!

Frequently Asked Questions

What is the minimum SIP amount?

Most mutual funds allow SIPs starting from ₹500 per month, though some may have higher minimums.

Can I change my SIP amount?

Yes, you can increase, decrease, or pause your SIP at any time. Many funds also offer step-up SIP options.

Is SIP better than lumpsum investment?

SIPs are generally better for regular investors as they provide rupee cost averaging and reduce timing risk. Lumpsum works better when you have a large amount and markets are low.

What is a good return rate to expect from SIP?

Historical data shows equity funds have delivered 12-15% annual returns over long periods, though past performance doesn't guarantee future results. Conservative estimates use 10-12%.

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