SIP Calculator - Calculate Mutual Fund SIP Returns Online SIP Calculator

What is SIP (Systematic Investment Plan)?

A Systematic Investment Plan (SIP) is an investment strategy that allows you to invest a fixed amount of money at regular intervals (typically monthly) in mutual funds or other securities. Instead of investing a large lump sum, SIP spreads your investment over time, reducing the impact of market volatility.

SIP harnesses the power of compound interest to grow your wealth exponentially over time. After building a corpus, you can plan regular withdrawals using a SWP Calculator.

Benefits of SIP

• Rupee Cost Averaging: Invest the same amount regularly, automatically buying more units when prices are low and fewer when prices are high.
• Discipline: Encourages regular saving and investing habits without requiring a large upfront capital.
• Lower Risk: Reduces the risk associated with market timing and investing a lump sum.
• Compound Growth: Benefit from the power of compounding over time.
• Flexibility: Easy to start, pause, or modify SIP amounts according to your financial situation.
• Tax Benefits: Eligible for tax deductions and long-term capital gains benefits. Use our Tax Calculator to estimate savings.

Calculation Formula

How Our SIP Calculator Works

1. Monthly Compounding: Your investment grows monthly with compound interest based on the annual return rate.
2. Down Payment: An optional initial lump sum that starts accruing returns immediately.
3. Step-up: Increases your monthly investment by a fixed percentage or amount at selected intervals (monthly or yearly).
4. Year-wise Breakdown: The table shows detailed year-wise progression of invested amount, gains, and total value.
5. Visualization: The chart illustrates the proportion of invested capital vs. gains earned each year.