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SIP Calculator

Estimate your mutual fund SIP returns — with optional step-up and lumpsum

Step-up ready

Your SIP

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Equity funds are often modelled at 10–12%. Returns are not guaranteed.
Increase your SIP by this % every year, in line with your salary.
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Note: Mutual funds are market-linked — actual returns vary and are never guaranteed. Figures are pre-tax and exclude expense ratio and exit load. This is an estimate for planning, not a prediction.

Estimated value after 10 years
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Invested ₹0 · Returns ₹0

Invested vs returns

Invested 50% Returns 50%
Total invested
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Estimated returns
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Maturity value
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Wealth multiplier
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Growth curve

Total value Amount invested

Year-by-year breakdown

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Read: why time matters more than returns →

What a SIP calculator actually tells you

A Systematic Investment Plan (SIP) is simply investing a fixed amount into a mutual fund every month. The reason it needs a calculator is that each instalment compounds for a different length of time — the instalment you pay in year one grows for the entire period, while the one you pay in the final month barely grows at all. Adding those up in your head is impossible, which is why the maturity value usually surprises people.

The calculator above compounds every instalment month by month, so the number you see accounts for that timing effect properly — including a lumpsum if you add one, and an annual step-up if you plan to raise your SIP as your income grows.

The SIP formula

A flat SIP uses the future value of an annuity:

FV = P × [ ((1 + i)n − 1) ÷ i ] × (1 + i)

Where P is your monthly instalment, i is the monthly return (annual ÷ 12) and n is the number of instalments. A step-up SIP has no neat closed formula, because the instalment changes each year — so this calculator simulates it month by month instead, which is exactly how your fund house would.

Why a step-up SIP is so powerful

Most people's salary rises every year, but their SIP doesn't. Increasing your instalment by even 10% a year — roughly one decent appraisal — compounds on top of the market return. Try it above: set a ₹10,000 SIP for 20 years at 12%, then move the step-up slider to 10% and watch the maturity value change. The extra money you contribute is modest; the extra corpus is not.

Tax on SIP returns in India

Every SIP instalment counts as a separate purchase for capital gains, each with its own holding period. For equity mutual funds, units held more than 12 months are long-term and taxed at 12.5% above the ₹1.25 lakh annual exemption; units sold within 12 months are short-term at 20%. ELSS funds have a 3-year lock-in and qualify for Section 80C under the Old Regime. Our capital gains calculator and capital gains guide cover this in detail.

Frequently asked questions

What is a SIP calculator?
A SIP calculator estimates what your monthly mutual fund investments will grow to over time. You enter your monthly SIP amount, an expected annual return and the number of years, and it compounds each instalment month by month to show your maturity value, how much you invested, and how much of the total is returns.
How is SIP return calculated?
SIP uses the future value of an annuity formula: FV = P × [((1+i)ⁿ − 1) ÷ i] × (1+i), where P is the monthly instalment, i is the monthly rate of return and n is the total number of instalments. Each instalment compounds for a different length of time, which is why earlier instalments contribute far more to the final value.
What is a step-up SIP?
A step-up (or top-up) SIP increases your monthly instalment by a fixed percentage every year, usually in line with your salary growth. Because the extra amount also compounds, a 10% annual step-up can increase your final corpus dramatically compared with a flat SIP over the same period.
What return rate should I assume?
Returns are never guaranteed because mutual funds are market-linked. As a planning convention, many investors model equity funds at around 10–12% a year over long periods, hybrid funds around 8–10%, and debt funds around 6–7%. Use a conservative figure and treat the output as an estimate.
Is SIP better than a lumpsum?
A SIP spreads your purchases across market highs and lows, which averages your cost and removes the pressure of timing the market. A lumpsum can outperform if invested at a market low, but carries more timing risk. Many investors do both — a SIP from monthly income, and lumpsums when a bonus arrives.
Is SIP income taxable in India?
Yes. Each instalment is treated as a separate purchase for capital gains. Equity units held over 12 months are taxed at 12.5% above the ₹1.25 lakh exemption; under 12 months at 20%. ELSS carries a 3-year lock-in and qualifies for 80C under the Old Regime.

Official sources

Fund and tax rules are checked against the regulator and the tax department. Always confirm for your own situation.

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