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SIP Calculator

A SIP invests a fixed amount every month. This projects what those instalments could grow to at a return rate you choose, and separates how much of the final figure is your own money from how much is assumed growth.

Check the working

A worked example

A fixed case, for reference.

Take ₹10,000 a month for 10 years, assuming 12% a year and no step-up. Every figure below is the arithmetic this page actually performs.

  1. Convert the annual rate to a monthly rate

    i=1212×100=0.01i = \frac{12}{12 \times 100} = 0.01

  2. Count the instalments

    n=10×12=120n = 10 \times 12 = 120

  3. Compound the growth factor

    (1.01)120=3.300387(1.01)^{120} = 3.300387

  4. Apply the annuity formula

    10,000×3.300387−10.01=23,00,386.8910{,}000 \times \frac{3.300387 - 1}{0.01} = 23{,}00{,}386.89

  5. Adjust for investing at the start of each month

    23,00,386.89×1.01=23,23,390.7623{,}00{,}386.89 \times 1.01 = 23{,}23{,}390.76

You would have paid in ₹12,00,000 across 120 instalments. The remaining ₹11,23,390.76 is the projected return — under this assumption, and only under this assumption.

The formula

FV=P×(1+i)n−1i×(1+i)FV = P \times \frac{(1 + i)^{n} - 1}{i} \times (1 + i)

Future value of a level monthly investment, with each instalment invested at the start of the month.

i=r12×100n=y×12i = \frac{r}{12 \times 100} \qquad n = y \times 12

The annual rate and tenure converted to a monthly basis.

What each symbol means

FV
projected value at the end of the tenure
P
the monthly instalment
r
the assumed annual return, as a percentage
i
the monthly rate, r divided by 12 and by 100
y
the tenure in years
n
the total number of monthly instalments

What this assumes, and where it stops

Assumptions

  • The return you enter is earned steadily, every month, for the whole tenure. Real markets do not behave this way — the same average delivered in a different order produces a different result.
  • Each instalment is invested at the START of the month and grows for that month.
  • The monthly rate is the annual rate divided by twelve. This is the convention Indian fund houses use. The alternative — the rate that compounds to exactly 12% over a year — would be 0.9489% a month rather than 1.0000%, and would give a slightly lower figure.
  • A step-up, if set, is applied on each anniversary, so the first year always runs at the amount you entered.
  • Every instalment is paid, on time, for the full tenure.

Limitations

  • Taxes are not modelled. Capital gains tax on redemption reduces what you actually receive.
  • Costs are not modelled: expense ratio, exit load, and any transaction charges all reduce real returns.
  • Inflation is not applied here. ₹23 lakh in ten years does not buy what ₹23 lakh buys today — use the Inflation calculator to see the difference in purchasing power.
  • This is a projection from a fixed assumption, not a forecast. Returns vary year to year and can be negative for long stretches.
  • The model does not account for missed instalments, partial withdrawals, or switching funds.

What this calculator does

  • Projects the value of a monthly investment plan over a chosen number of years.
  • Splits the result into what you contributed and what the assumed return added.
  • Models an optional annual step-up, where the instalment rises each year as income grows.
  • Shows the year-by-year path, so you can see when compounding starts to dominate.

Common questions

Related calculators

Different questions about the same money. These use the same conventions, so the numbers are comparable.

  • Step-Up SIP Calculator

    Model a SIP that increases every year, which is what usually happens as income grows, and see the difference against a flat SIP.

  • Lumpsum Calculator

    See how a one-time investment could grow at an assumed annual rate, and compare it against investing the same amount monthly.

  • RD Calculator

    Calculate the maturity value of a recurring deposit, compounded quarterly the way banks do it, and see why the interest is smaller than it sounds.

  • Inflation Calculator

    Find what a sum today is worth in future purchasing power, and what a future target costs in today’s money.

  • Investment Goal Calculator

    Start from the amount you want and work backwards to the monthly investment it would take to get there.