SIP Calculator
What a monthly SIP or a one-time lumpsum grows to, with an optional yearly step-up.
Invested vs returns, year by year
| Year | Deposit | Total invested | Interest earned | Balance |
|---|---|---|---|---|
| Year 1 | ₹1,20,000 | ₹1,20,000 | ₹8,093 | ₹1,28,093 |
| Year 2 | ₹1,20,000 | ₹2,40,000 | ₹32,432 | ₹2,72,432 |
| Year 3 | ₹1,20,000 | ₹3,60,000 | ₹75,076 | ₹4,35,076 |
| Year 4 | ₹1,20,000 | ₹4,80,000 | ₹1,38,348 | ₹6,18,348 |
| Year 5 | ₹1,20,000 | ₹6,00,000 | ₹2,24,864 | ₹8,24,864 |
| Year 6 | ₹1,20,000 | ₹7,20,000 | ₹3,37,570 | ₹10,57,570 |
| Year 7 | ₹1,20,000 | ₹8,40,000 | ₹4,79,790 | ₹13,19,790 |
| Year 8 | ₹1,20,000 | ₹9,60,000 | ₹6,55,266 | ₹16,15,266 |
| Year 9 | ₹1,20,000 | ₹10,80,000 | ₹8,68,215 | ₹19,48,215 |
| Year 10 | ₹1,20,000 | ₹12,00,000 | ₹11,23,391 | ₹23,23,391 |
How SIP returns are calculated
Each monthly instalment is invested at the start of the month and grows at the expected annual return divided by 12, compounded monthly. The future value of a plain SIP is P × [(1 + i)n − 1] / i × (1 + i), where P is the monthly amount, i the monthly return and n the number of months. That is the same formula mutual fund houses and brokers use, so ₹10,000 a month for 10 years at 12% shows about ₹23.2 lakh here and on their sites.
Step-up SIP
A step-up raises your monthly amount by a fixed percentage once a year, usually in line with your salary hikes. Even a 10% yearly step-up can roughly double the final corpus over 20 years compared with a flat SIP.
Lumpsum
A one-time investment compounds yearly: P × (1 + r)years. Mutual fund returns are not guaranteed. Treat the expected return as an assumption and try a few rates to see the range.