SIP Calculator
Calculate returns on your Systematic Investment Plan.
Frequently Asked Questions
How does an SIP help in wealth creation?
Systematic Investment Plans (SIP) leverage 'Rupee Cost Averaging' and the power of compounding by investing a fixed amount regularly over a long period.
How accurate is the SIP calculator?
It uses the standard future value formula for an annuity. While the math is precise, the 'Estimated Returns' are projections and not guaranteed.
What return rate should I assume for a typical SIP?
Equity mutual funds in India have historically delivered 10-12% annually over long periods (10+ years), though past performance doesn't guarantee future results.
Can I calculate the 'Cost of Delay' if I start late?
Yes. The tool shows how starting 5 years later can significantly reduce your final wealth due to fewer compounding cycles.
What is a 'Step-up SIP'?
It's a strategy where you increase your SIP amount every year as your income grows. Our advanced mode allows you to factor in this annual increase.
Is a monthly SIP better than a quarterly one?
Monthly SIPs are more popular as they align with monthly salary cycles and provide better cost averaging across market volatility.
Can I calculate the total amount invested vs the wealth gained?
Yes. The calculator clearly highlights the 'Total Investment' and 'Wealth Gained' as separate components of your final maturity value.
Does SIP work for debt funds too?
Yes. You just need to lower the expected return rate (typically 6-8%) in the input to match the nature of debt investments.
When is the best time to start an SIP?
The best time is as soon as you start earning. Time spent in the market is more important than timing the market.
What happens if I miss an SIP installment?
Our calculator assumes continuous investment. In reality, missing a payment just reduces the final compounding base, but doesn't 'cancel' the plan.