SIP calculator
See what a monthly SIP grows to over time, or switch to a one-time investment and compare. The projection separates what you put in from what compounding added.
- Nothing stored
- No sign-in
- Works offline
Calculate your returns
What a SIP calculation assumes
This works out the future value of a fixed amount invested at the start of every month, compounding at a steady annual rate. That last word is the important one. Markets do not return 12% every year; they return 30% one year and −15% the next, and the average only emerges over long periods. The figure here is a projection built on an assumption you chose, not a forecast.
Why the returns line grows so fast at the end
Each instalment compounds for a different length of time. The one you invest today has the full period ahead of it; the one you invest in the final year has almost none. That is why the gap between money invested and money accumulated stays modest for years and then widens sharply — most of the growth is coming from the earliest contributions, which have had the longest run.
The practical consequence: starting earlier matters far more than investing more. Try the same amount over ten years and fifteen and compare the returns line.
SIP against a one-time investment
For the same total money over the same period, a lump sum invested at the start finishes ahead, because all of it compounds for the whole term. That is arithmetic, not an argument for lump sums — most people do not have the full amount available on day one, and spreading purchases across months means you buy at a range of prices instead of committing everything at one. Switch between the two modes above to see the difference on your own numbers.
What is not included
Expense ratios, exit loads and capital gains tax all reduce what you actually receive. If you want a more conservative projection, drop the expected return by roughly the fund's expense ratio and treat the result as a pre-tax figure.
Frequently asked questions
What return rate should I assume?
There is no correct answer, only a reasonable range. Indian equity funds have historically averaged somewhere around 11 to 13 per cent over long periods, debt funds considerably less. Whatever you pick, run the calculation again a few points lower to see how much the projection depends on that assumption.
Does this account for increasing my SIP every year?
No. It assumes the same amount every month for the whole period. A step-up SIP, where you raise the amount annually, produces a meaningfully larger figure.
Is the calculated amount what I will actually receive?
No. It is a pre-tax, pre-charges projection based on a constant rate of return. Actual returns vary year to year, and equity gains above the annual exemption are taxable.
Why does the calculator assume investment at the start of the month?
Because that is how most SIP mandates are set up — the debit happens on a fixed date and the units are allotted immediately. It makes a small difference to the final figure compared with end-of-month investing.
Can I use this for a recurring deposit?
The arithmetic is close but not identical: bank recurring deposits usually compound quarterly rather than monthly. The FD calculator handles bank compounding properly.