MMoneyToolsHub

SIP Calculator

Calculate the future value of your Systematic Investment Plan (SIP). See how regular monthly investments grow with compound returns over time.

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Calculator

Total Invested

$600,000.00

Estimated Returns

$550,193.45

Final Value

$1,150,193.45

Growth Over Time

Year 1: $63,412.52
Year 2: $134,867.32
Year 3: $215,384.39
Year 4: $306,113.04
Year 5: $408,348.35
Year 6: $523,549.66
Year 7: $653,361.37
Year 8: $799,636.46
Year 9: $964,462.90
Year 10: $1,150,193.45
Year 1Year 10

How It Works

A Systematic Investment Plan (SIP) lets you invest a fixed amount regularly into mutual funds or other investments. This disciplined approach harnesses the power of compounding and rupee-cost averaging.

By investing consistently regardless of market conditions, you buy more units when prices are low and fewer when prices are high, potentially lowering your average cost over time.

This calculator projects the final value of your SIP investments based on your monthly investment amount, expected rate of return, and investment tenure.

The Formula

FV = P × [((1 + r)^n - 1) / r] × (1 + r)

FV = Final value, P = Monthly investment amount, r = Monthly rate of return (annual rate / 12 / 100), n = Total number of months (years × 12)

Example

Scenario: You invest ₹5,000 per month in a mutual fund SIP for 10 years with an expected return of 12% per annum.

Result: Your total investment of ₹600,000 would grow to approximately ₹1,161,695, with estimated returns of ₹561,695.

Insight: If you extended the tenure to 20 years, the final value would be approximately ₹5,000,000 — over 4x more with only 2x the contributions.

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Frequently Asked Questions

What is a SIP?
A Systematic Investment Plan (SIP) is a method of investing a fixed amount regularly in mutual funds. It instills financial discipline and leverages rupee-cost averaging.
What is a good SIP return rate?
Historical equity mutual fund returns in India average 10-15% annually over the long term. Debt funds typically return 6-9%. Past performance doesn't guarantee future returns.
How long should I invest in SIP?
SIPs work best over long periods — ideally 5-10 years or more. Longer tenures help ride out market volatility and maximize compound growth.
Can I stop or pause my SIP?
Yes, most mutual funds allow you to stop, pause, or modify your SIP anytime without penalties. However, staying invested through market cycles yields the best results.
What is rupee-cost averaging?
Rupee-cost averaging means buying more units when prices are low and fewer when prices are high, potentially lowering your average purchase cost over time.