SIP Calculator – Mutual Fund Returns
A Systematic Investment Plan (SIP) lets you invest a fixed amount in a mutual fund every month. Because you buy more units when NAVs are low and fewer when they are high, SIPs average out market volatility — this calculator projects what your monthly investment can grow to.
The formula
Future value = P × ((1+i)ⁿ − 1) ÷ i × (1+i)
FAQ
What return rate should I assume for equity SIPs?
Indian large-cap funds have historically returned around 11–13% annualised over long periods. Use 12% as a realistic planning number; debt funds typically target 6–8%.
Is SIP better than a lump sum investment?
Neither always wins. SIPs reduce timing risk by spreading entry across markets, while lump sums win more often in rising markets. For salaried investors, SIP discipline usually beats trying to time a lump sum.
What is the power of compounding in a SIP?
Investing ₹10,000/month for 15 years at 12% puts in ₹18 lakh but grows to about ₹50 lakh — about two-thirds of the final corpus comes from returns, not your money.