SIP Calculator
Estimate what a fixed monthly investment could grow to at an assumed annual return. Live results in Indian number format, the exact annuity-due formula below, and a worked example you can verify by hand.
Estimates only — a SIP's actual return moves with the market and can be negative over shorter periods.
Project Your Monthly SIP
Type a value or drag the slider — both stay in sync and the result updates instantly. Nothing you enter leaves your browser.
The SIP Formula, Explained
This calculator uses the standard future-value-of-an-annuity-due formula — the same one used by AMFI-member fund platforms:
FV = P × ((1 + i)n − 1) / i × (1 + i)
- P — your monthly instalment in rupees.
- i — the monthly rate, i.e. the annual return divided by 12. At 12% a year, i = 0.12 / 12 = 0.01.
- n — total number of monthly instalments, i.e. years × 12.
The core term ((1+i)^n − 1)/i is the future value of ₹1 invested every month at the end of the month. The trailing × (1+i) converts it to an annuity due — instalments invested at the start of each month, which is how a real SIP debits — giving each instalment one extra month of compounding.
Worked example: ₹10,000 a month, 12% p.a., 10 years
- Monthly rate i = 12% / 12 = 0.01; months n = 10 × 12 = 120.
- (1.01)120 ≈ 3.30039.
- ((3.30039 − 1) / 0.01) = 230.039; × 1.01 = 232.339.
- FV = 10,000 × 232.339 ≈ ₹23,23,391.
Invested amount = ₹10,000 × 120 = ₹12,00,000. Estimated returns = 23,23,391 − 12,00,000 = ₹11,23,391 — nearly half the final corpus is growth, not contributions. Stretch the same SIP to 20 years and the corpus is about ₹99.9 lakh on ₹24 lakh invested: doubling the time roughly quadruples the corpus. That asymmetry is the whole argument for starting early.
Picking a Return Assumption Right Now
Data as of —
A flat 12% line looks nothing like a real equity chart. From our research desk's data file: the Nifty 50 closed at 23,161.60 and the Sensex at 73,832.55 on June 11, 2026, with the Sensex reported down roughly 9.6% year-over-year amid FII outflows and Middle East tensions. One-year returns among index heavyweights ranged from TCS at −38% to Eicher Motors at +34%. A SIP's strength is precisely that it keeps buying through stretches like this — more units per instalment at lower prices — but the calculator's smooth curve hides that journey.
Three practical upgrades to a plain SIP
- Step-up annually. Raising the instalment 5–10% a year with your salary materially outgrows a flat SIP because larger contributions also compound.
- Match the horizon to equity. Under ~5 years, prefer hybrid or debt allocations and assume 6–9%, not 12%.
- Mind taxes when you redeem. Equity LTCG above ₹1.25 lakh per financial year is taxed at 12.5%; STCG at 20%. Each SIP instalment carries its own 12-month holding clock, so a "10-year SIP" still has short-term units from the final year.
Index levels and stock returns above are approximate as of the June 10–11, 2026 close, aggregated from public sources (Trading Economics, screener.in and others) — re-verify before any decision. Educational content, not investment advice.
Related tools: Lumpsum calculator for one-time amounts · CAGR calculator to measure what a past investment actually returned.
Ready to put research into practice?
Open a free demat & trading account with a SEBI-registered discount broker and start with a small, disciplined SIP.
SIP Calculator FAQs
What return should I assume in a SIP calculator?
For diversified Indian equity (index funds, large-cap funds) a 10–12% annual assumption is common for horizons of 10 years or more, with 8% as a conservative stress test. Do not anchor on recent bull-market numbers: as of the June 11, 2026 close the Sensex was reported down about 9.6% year-over-year, so short-period returns can be negative even when long-run averages are healthy.
Is a SIP return assured or fixed?
No. A SIP is just a disciplined way of buying — usually mutual fund units — every month. The value of those units moves with the market, so actual returns fluctuate and can be negative over shorter periods. The calculator applies one constant assumed rate purely to make planning arithmetic possible.
How are SIP gains taxed in India?
For equity funds, each monthly instalment has its own holding period. Units held over 12 months qualify as long-term: gains above ₹1.25 lakh per financial year are taxed at 12.5%. Units held 12 months or less are short-term, taxed at 20%. Debt fund gains are taxed at your income-tax slab rate. Rates are as currently legislated for FY 2026-27 — verify before filing, and consult a tax professional.
What is a step-up SIP and how much difference does it make?
A step-up (top-up) SIP increases your monthly instalment every year, typically by 5–10%, to track salary growth. Because the larger instalments also compound, a 10% annual step-up on a ₹10,000 SIP can add several lakh to a 10-year corpus versus a flat SIP. This calculator models a flat SIP; treat its output as the conservative base case.
Can I stop, pause or change my SIP amount later?
Yes. SIPs in open-ended mutual funds are flexible: you can pause, stop or modify the amount with no penalty from the fund (exit loads may apply on units redeemed early, often 1% within a year). Stopping a SIP does not redeem the units you already hold — they stay invested.
Does the calculator account for inflation or fund costs?
No. Results are nominal, pre-tax and pre-cost. At 6% inflation, ₹23.2 lakh ten years from now buys roughly what ₹13 lakh buys today, and a fund's expense ratio (commonly 0.2–1.5%) quietly reduces the return you actually receive. Use a return assumption net of costs if you want a more realistic figure.