SIP Calculator
Plan your mutual fund SIP investments. Use What-If mode to see how increasing your SIP by ₹1,000 changes your returns.
SIP Details
Percentage by which you plan to increase your monthly SIP every year.
Total Wealth
₹6,31,275
5% of your corpus comes from market returns
Year-wise Growth
About SIP Calculator
A SIP (Systematic Investment Plan) calculator estimates how regular mutual-fund investments can grow when you invest a fixed amount every month at an assumed annual return. EnrichReturns adds What-If and optional step-up so you can stress-test raising the SIP as income grows — without treating any projection as a guaranteed outcome.
What is a SIP calculator?
In India, most salaried investors use SIPs to buy mutual-fund units every month. A SIP calculator does not predict markets; it compounds your monthly contributions at the return rate you enter so you can size a SIP for a goal, compare tenures, or see how a small monthly increase changes maturity value.
How this calculator works
Enter monthly SIP amount, expected annual return (%), and tenure in years. Optionally enable step-up (raise SIP once a year by a %) or What-If (compare a higher monthly amount).
The engine compounds month by month: each contribution is added, then the balance grows at monthlyRate = annualRate ÷ 12. That matches common Indian SIP illustrations. It does not subtract expense ratios, exit loads, or taxes — those are already reflected (imperfectly) if you choose a conservative expected return.
Formula / methodology
Without step-up, the familiar closed form is FV = P × [((1 + r)^n − 1) / r] × (1 + r), where P is monthly SIP, r is monthly rate, and n is number of months. With step-up, EnrichReturns simulates year by year so the SIP amount can rise after each completed year.
Worked example
Suppose you invest ₹10,000 per month for 15 years at an assumed 12% annual return (1% per month). Total invested is ₹18 lakh. The compounded maturity in this illustration is well above the invested amount because early contributions compound longest — which is why starting earlier usually matters more than chasing a slightly higher assumed rate.
If you instead assume 8% (more debt/hybrid-like), maturity falls sharply for the same SIP. Always run a conservative case alongside an optimistic one.
What the result means
Maturity value is an illustration under smooth compounding — real NAV paths zigzag. “Returns” on the result card are maturity minus amount invested, not a promise of alpha. Use the year-wise chart to see how corpus builds slowly at first, then accelerates.
Assumptions and limitations
Assumptions: constant monthly rate, contributions at the modelled interval, and your chosen return. Limitations: ignores expense ratio changes, capital-gains tax, STP/SWP, missed SIPs, and sequence-of-returns risk. Past category returns do not guarantee future results.
Factors that change the real outcome
Fund category and equity allocation, expense ratio (prefer Direct plans when suitable), market cycles near your goal date, increasing SIP with salary (step-up), and whether you redeem in a downturn. Pair this tool with Goal Planner or Retirement Calculator when the SIP is tied to a date-specific need.
Related learning guides
Frequently Asked Questions
- What is a SIP calculator?
- A SIP calculator estimates the future value of fixed monthly investments in mutual funds using an assumed annual return rate and tenure.
- How does EnrichReturns calculate SIP maturity?
- It compounds month by month: each SIP is added, then the balance grows at monthlyRate = annualRate ÷ 12. Step-up raises the SIP after each completed year when enabled.
- Does this include expense ratios or exit loads?
- No. It uses your expected return rate only. Actual fund returns vary after expenses, taxes, and market moves.
- What return rate should I assume?
- Equity SIPs often use 10–12% long-term assumptions; hybrid or debt SIPs use lower rates. Always run a conservative case. Past returns do not guarantee future results.
- What is step-up SIP?
- Step-up increases your monthly SIP by a set percentage each year, which can grow corpus faster as income rises.
- What is What-If mode?
- What-If lets you test increasing the SIP amount (for example by ₹1,000) and instantly compare the higher maturity value.
- Is the maturity value guaranteed?
- No. Smooth compounding is an illustration. Real NAV paths zigzag, and redeeming in a downturn can reduce realised returns.
- Which related tools should I use next?
- Tie the SIP to a date with Goal Planner or Retirement Calculator, compare with FD/RD, and review overall finances with Financial Health Score.