SIP Calculator
Estimate the maturity value of a monthly Systematic Investment Plan in mutual funds.
Inputs
₹5.0K
Equity mutual funds in India have historically returned 11 to 13 percent over long horizons.
Maturity value
Investment vs returns
Yearly growth
A Systematic Investment Plan, or SIP, is the most popular way Indians invest in mutual funds. You commit a fixed amount every month, and the fund house buys units at the prevailing Net Asset Value on a chosen date. Over time, this disciplined approach builds wealth through two forces, rupee cost averaging and compounding.
How a SIP grows your money
Every month your contribution buys more units when prices are low and fewer units when prices are high. This averages your cost of acquisition over many market cycles.
Returns earned on past investments themselves earn more returns. Over 10, 15, or 20 years, this compounding effect becomes the dominant driver of your final corpus.
Formula used
Future value equals P times ((1 plus r) raised to n minus 1) divided by r, multiplied by (1 plus r). Here, P is the monthly investment, r is the monthly rate of return, and n is the total number of months. The final multiplication by (1 plus r) assumes the SIP is invested at the start of each month.
Worked example
A monthly SIP of ₹5,000 invested for 15 years at an assumed 12 percent annual return grows to about ₹25.2 Lakh. Out of this, ₹9 Lakh is your own contribution and the rest, roughly ₹16.2 Lakh, comes from market returns.
Frequently asked questions
No. Mutual fund returns are linked to market performance. Past returns are not a guarantee of future returns. Use a conservative assumption such as 11 to 12 percent for equity funds and 6 to 7 percent for debt funds.
Related calculators
Project the future value of a one time mutual fund investment.
Calculate fixed deposit maturity with monthly, quarterly, or yearly compounding.
Estimate maturity value of recurring deposits at any tenure.
Project your Public Provident Fund corpus over 15 years and beyond.