SIP Calculator at a glance
- What it does
- Calculate the future value of a monthly SIP investment, see how much is contribution and how much is growth, and understand the formula and its limits.
- Where it runs
- Entirely in your browser — no data is uploaded
- Works offline
- Yes, once the page has loaded
- Cost
- Free, with no account and no usage limit
- Category
- Financial Calculators
How to use the SIP calculator
- Enter your monthly investment - the amount you will contribute each month.
- Enter an expected annual return. Be conservative; the assumptions section below explains why.
- Set the period in years.
- Read the breakdown: total invested, estimated returns, and the projected final value.
The formula
A SIP is an annuity - a series of equal payments. Each instalment compounds for a different length of time, and the future value of the series is:
FV = P × [ ((1 + i)ⁿ − 1) / i ] × (1 + i)
P = monthly investment
i = monthly rate = annual rate ÷ 12 ÷ 100
n = number of monthsThe trailing (1 + i) accounts for instalments being invested at the start of each month rather than the end.
Worked example. ₹10,000 a month for 10 years at 12% a year. The monthly rate is 0.01 and n is 120. That gives a projected value of roughly ₹23.2 lakh, of which ₹12 lakh is your own contribution and about ₹11.2 lakh is growth.
What the calculation assumes
Every figure here rests on assumptions that will not hold exactly.
- A constant rate of return. Markets deliver an average over time, not a fixed percentage each year. The same average arriving in a different order produces a materially different result, particularly if poor years fall near the end.
- No taxes. Capital gains tax applies on redemption in most jurisdictions, and the rate typically depends on how long you held the units.
- No fees. A fund's expense ratio is deducted from returns. The difference between 0.5% and 1.5% a year compounds into a very large sum over twenty years - often more than most people expect.
- Every instalment is paid. Missing contributions during a difficult year changes the outcome more than the return rate does.
- Reinvestment. Growth is assumed to stay invested rather than being withdrawn.
Why monthly investing works
Rupee-cost averaging. A fixed amount buys more units when prices are low and fewer when they are high, so your average purchase price sits below the average market price over the period. This is a mechanical consequence of investing a fixed sum, not a forecasting technique.
It removes the timing decision. The evidence on market timing is consistent and unflattering: most investors who try to time entry and exit do worse than those who simply keep investing. A standing instruction takes the decision away from you at exactly the moments when your judgement is worst.
It is affordable. Most funds accept small monthly amounts, so starting does not require capital you do not have.
Time matters more than amount. Because growth compounds, an early year contributes disproportionately. Someone investing ₹5,000 a month from age 25 typically ends up ahead of someone investing ₹10,000 a month from age 40, despite contributing less overall.
Choosing a realistic return rate
The rate you enter dominates the projection, and optimism here is where most planning goes wrong. Over a full market cycle, broad equity indices have historically returned somewhere in the region of 10-12% nominal in India and 7-10% in developed markets, before fees and taxes and before adjusting for inflation.
Two sensible habits. Run the projection two or three times at different rates - a pessimistic, a central and an optimistic case - and plan around the pessimistic one. And remember that a 12% nominal return with 6% inflation is a 6% real return, which is what actually determines what your money will buy. The inflation calculator makes that concrete.
Increasing your contribution over time
A step-up SIP raises the monthly amount each year, typically in line with your salary. The effect is substantial because the increases themselves compound.
To approximate one with this calculator, run separate projections for each stage - five years at the current amount, the next five at the higher amount over a shorter remaining period - and add the results. It is rough, but it shows the direction of the difference, which is usually larger than people expect.
This is a calculator, not advice. It applies a standard formula to the figures you enter and assumes a constant rate of return, no taxes and no fees unless stated. Real markets do not behave that way. Nothing here is a recommendation to buy, sell or hold any investment — see our full disclaimer, and speak to a qualified adviser regulated in your jurisdiction before making a financial decision.
Frequently asked questions
No. It is arithmetic based on a rate you supplied. Actual returns vary year to year and can be negative. Market-linked investments carry the risk of loss, including of capital.
Be conservative. Historical long-run equity returns are often cited around 10-12% nominal for Indian markets, but past performance does not predict the future. Running the numbers at a lower rate and being pleasantly surprised is better planning than the reverse.
No. Capital gains tax applies on redemption and depends on your jurisdiction, the holding period and the fund type. Deduct it separately when planning what you will actually receive.
The projection assumes every instalment is paid. Missing contributions reduces both the amount invested and the time it compounds for, so the shortfall is larger than the missed payments alone.
Mathematically, a lump sum invested earlier usually wins in a rising market, because the money is in for longer. A SIP wins on discipline, on affordability, and on volatility - and it removes the risk of committing everything at a market peak. The lumpsum calculator lets you compare.
Nothing you enter here leaves your browser
SIP Calculator does its work in JavaScript running on your own device. The page loads once, and after that there is no upload step and no server involved — which matters here because your income, loan and savings figures are nobody else’s business.
You can verify this rather than taking our word for it: load the page, disconnect from the internet, and the tool keeps working. Our privacy policy sets out what is and is not collected, and this guide explains why the distinction matters.