See how much your monthly SIP could grow into. Enter how much you invest each month, an expected yearly return, and how long you will invest. You will see the final value and how much of it is your own money.
Each monthly amount you invest is treated separately, and it grows for the rest of the time left.
A standard formula adds up all these separate amounts.
Your gain is simply the final value minus the total amount you actually invested.
Maturity value: M × ((1 + i)ⁿ − 1) ÷ i × (1 + i)
M: Monthly investment amount
i: Monthly return = annual return ÷ 12 ÷ 100
n: Total number of monthly instalments
A SIP calculator estimates what a fixed monthly investment could grow to over a number of years at an assumed rate of return. You enter the monthly amount, the expected annual return and the period, and it shows the total you put in, the estimated value at the end and the gain in between.
Systematic investment plans are how most Indians invest in mutual funds, with amounts as small as a few hundred rupees a month debited automatically from a bank account. Because each instalment is invested on a different date and compounds for a different length of time, the final value is hard to estimate in your head. The calculator adds up all those instalments for you.
Its main value is in planning. It helps you see how much to invest monthly for a goal such as a child's education, and how strongly the result depends on time and on the return you assume.
1. Note the monthly investment M, the expected annual return and the period in years.
2. Convert the annual return to a monthly rate: i = annual return ÷ 12 ÷ 100.
3. Find the number of instalments: n = years × 12.
4. Compute the growth factor (1 + i)ⁿ.
5. Apply the formula FV = M × ((1 + i)ⁿ − 1) ÷ i × (1 + i).
6. Total invested = M × n, and estimated gain = FV − total invested.
A SIP is a series of separate investments. The first instalment grows for all n months, the second for n − 1 months, and the last for one month. Their values at the end are M(1 + i)ⁿ, M(1 + i)ⁿ⁻¹, and so on down to M(1 + i). This is a geometric series with n terms. Its sum is M × (1 + i) × ((1 + i)ⁿ − 1) ÷ i, which is the formula the calculator uses. The extra (1 + i) appears because each instalment is assumed to be invested at the start of its month.
Most of the final value of a long SIP comes from growth, not from the money you put in, and most of that growth arrives in the later years. Early instalments have the longest time to compound. At 11%, stopping a 20-year SIP after 15 years cuts the final value by almost half, even though you would have invested only a quarter less. This is why starting early, even with a small amount, often beats starting later with a larger one.
The calculator applies one steady rate every month, but real mutual fund returns vary from year to year and can be negative. The steady rate is best read as an average outcome, not a promise. It also divides the annual rate by 12, which slightly overstates growth compared with converting an effective annual return exactly. Taxes on gains, fund expense ratios that are not already in the return you assume, and exit loads are not included. Running two or three return assumptions gives a more honest range than a single figure.
Divya starts a ₹5,000 monthly SIP in an equity fund for her daughter's higher education, 20 years away, and assumes an 11% annual return.
Monthly investment (M): ₹5,000
Expected annual return: 11%
Period: 20 years (240 instalments)
Monthly rate i = 11 ÷ 12 ÷ 100 ≈ 0.0091667, and n = 20 × 12 = 240.
Growth factor (1.0091667)²⁴⁰ ≈ 8.935015.
((1 + i)ⁿ − 1) ÷ i = 7.935015 ÷ 0.0091667 ≈ 865.638; multiplying by (1 + i) gives ≈ 873.573.
Maturity value FV = 5,000 × 873.573 ≈ ₹43,67,865.
Total invested = 5,000 × 240 = ₹12,00,000, so estimated gain = ₹43,67,865 − ₹12,00,000 = ₹31,67,865.
Answer: An estimated maturity value of about ₹43,67,865, of which ₹12,00,000 is Divya's own money and about ₹31,67,865 is growth.
Treating the projected value as guaranteed when mutual fund returns vary.
Assuming a high return for a debt fund or a short period, where equity-like returns are unrealistic.
Ignoring inflation; a large rupee figure 20 years from now buys much less than it would today.
Stopping or pausing the SIP during market falls, which removes the cheap units that help long-run returns.
Forgetting tax on gains at redemption when planning a goal amount.
Planning monthly investments for goals such as education, a home down payment or retirement.
Comparing the effect of different return assumptions on a goal.
Showing how much of the final value is growth rather than contributions.
Deciding whether to increase the SIP amount after a salary rise.
Are SIP returns guaranteed?
No. Mutual fund returns depend on the market and are not fixed. This calculator uses one steady rate to give you an estimate, but real markets go up and down. Treat this as an example, not a promise.
What return rate should I assume?
There is no fixed right answer, and nobody truly knows future returns. Many people use 10–12% for equity funds and a lower number for debt funds. Try a few different rates to see how much your result changes.
What is rupee cost averaging?
Because you invest the same amount every month, you buy more units when prices are low and fewer units when prices are high. Over time, this evens out your average buying cost.