SIP Calculator
Calculate SIP maturity value, total invested amount, and estimated returns for any monthly SIP.
SIP calculator finds the maturity value of a monthly mutual fund investment. Enter your monthly SIP amount, expected annual return, and investment duration. Get total invested, estimated returns, and the final corpus with a year-by-year growth table. Equity mutual funds in India have returned 10-15% annually over 10-year periods, though past returns do not guarantee future performance. Free, no signup required.
Year-by-Year Growth
| Year | Invested | Returns | Total |
|---|---|---|---|
| Year 1 | ₹60,000 | ₹4,047 | ₹64,047 |
| Year 2 | ₹1.20 L | ₹16,216 | ₹1.36 L |
| Year 3 | ₹1.80 L | ₹37,538 | ₹2.18 L |
| Year 4 | ₹2.40 L | ₹69,174 | ₹3.09 L |
| Year 5 | ₹3.00 L | ₹1.12 L | ₹4.12 L |
| Year 6 | ₹3.60 L | ₹1.69 L | ₹5.29 L |
| Year 7 | ₹4.20 L | ₹2.40 L | ₹6.60 L |
| Year 8 | ₹4.80 L | ₹3.28 L | ₹8.08 L |
| Year 9 | ₹5.40 L | ₹4.34 L | ₹9.74 L |
| Year 10 | ₹6.00 L | ₹5.62 L | ₹11.62 L |
Three common ways to measure investment returns — each tells a different story. All examples below use your current inputs.
Absolute Return
Simple %93.6%
(Returns ÷ Invested) × 100 = (₹5.62 L ÷ ₹6.00 L) × 100
You invested ₹6.00 L and got ₹5.62 L back as gains — a raw gain of 93.6% regardless of how long it took.
Time-blind. A 100% gain over 1 year and over 10 years look identical here, making comparison difficult.
CAGR (Corpus)
Lump-sum view6.8% p.a.
(Total Value ÷ Invested)^(1/10) − 1 = (₹11.62 L ÷ ₹6.00 L)^(1/10) − 1
If you had put ₹6.00 L as a single lump sum on day 1 and received ₹11.62 L after 10 years, the CAGR would be 6.8%.
CAGR understates SIP returns because the money was not all deployed on day 1. The last few SIP instalments barely had time to compound, which drags the average down. Use CAGR to compare index performance across periods — not for evaluating SIP returns.
XIRR
True SIP return12% p.a.
NPV of all cash flows = 0, solved for annualised rate
Each of your 120 monthly instalments of ₹5,000 earns 12% per year, but only for the months it was invested. The first instalment earns for all 120 months; the last earns for just 1 month. XIRR weights each cash flow by its actual time.
XIRR is the standard used in mutual fund fact sheets to report SIP performance. For a regular SIP with a fixed assumed rate, XIRR equals that assumed rate. When you redeem a real fund and want the true return, compute XIRR using actual NAV-based cash flows.
Key insight
For your 10-year SIP, XIRR (12%) is significantly higher than corpus CAGR (6.8%). The gap widens with duration because later instalments get progressively less time to compound. XIRR correctly captures this by weighting each rupee by how long it was actually invested. Always compare mutual fund SIP returns using XIRR — not absolute % and not corpus CAGR.
When to use each metric
| Metric | Best for | Avoid for |
|---|---|---|
| Absolute Return | Quick sense of raw gain; short-term (under 1 year) | Comparing investments across different durations |
| CAGR | Lump sum investments; comparing index performance over time | Measuring SIP or any staggered-entry investment returns |
| XIRR | SIP returns; any investment with multiple cash flows | Single lump sum (CAGR and XIRR are identical for lump sum) |
Returns are estimated based on the rate entered. Mutual fund returns are not guaranteed. XIRR shown assumes a fixed annual return for every month of the SIP.
Frequently Asked Questions
- What is SIP in mutual funds?
- SIP (Systematic Investment Plan) is a method of investing a fixed amount in a mutual fund at regular monthly intervals. A ₹5,000 monthly SIP at 12% annual return grows to ₹11.6 lakh over 10 years, against ₹6 lakh invested. The compounding effect amplifies returns over time.
- How much should I invest in SIP monthly?
- A common starting point is 20% of monthly income. For a ₹50,000 monthly salary, that is ₹10,000 per month. Most SIPs allow amounts as low as ₹500 per month. Start with what is affordable and increase the amount by 10-15% each year as income grows.
- What return rate should I use in a SIP calculator?
- Equity mutual funds have returned 10-14% annually over the past 10-15 years on average. Use 10-12% for a conservative estimate on long-term equity SIPs. Debt fund SIPs return 6-8%. Hybrid or balanced funds fall between 8-10%. All figures are historical averages, not guaranteed future returns.
- How is SIP return calculated?
- SIP returns follow the future value formula for an annuity due. FV = P × [(1+r)^n − 1] / r × (1+r). P is the monthly SIP amount. r is the monthly rate (annual rate divided by 12). n is the total months invested.
- What is the difference between SIP and lump sum investment?
- SIP invests a fixed amount every month regardless of market conditions. Lump sum invests the entire amount at once. SIP benefits from rupee cost averaging: more units are bought when prices are low and fewer when prices are high. Lump sum performs better in a consistently rising market.
- Is SIP return taxable in India?
- Equity SIP gains held over 12 months are taxed as LTCG at 12.5% above ₹1.25 lakh per year. Short-term gains held under 12 months are taxed at 20%. Each SIP instalment starts its own 12-month holding clock. ELSS fund SIPs qualify for a Section 80C deduction up to ₹1.5 lakh per year.
- What happens if I stop SIP midway?
- Stopping a SIP does not redeem your existing units. The accumulated investment stays in the mutual fund and continues to grow at market rates. You can restart the SIP anytime. Units already purchased are not affected by pausing or stopping new instalments.
What is SIP Calculator?
SIP calculator finds the maturity value of a monthly mutual fund investment. SIP stands for Systematic Investment Plan. Investors commit a fixed amount to a mutual fund each month. The compounding effect over years builds a corpus that grows far beyond the sum invested.
All calculations run in your browser. No data is sent to any server.
How does it work?
Enter three values: monthly SIP amount, expected annual return rate, and investment duration in years. The calculator applies the future value formula for an annuity due. FV = P × [(1+r)^n − 1] / r × (1+r). P is the monthly SIP amount. r is the monthly rate, which is the annual rate divided by 12. n is the total number of months.
For a ₹5,000 monthly SIP at 12% annual return over 10 years: monthly rate = 1%, n = 120 months. Maturity value is approximately ₹11.6 lakh. Total invested is ₹6 lakh. Estimated returns are ₹5.6 lakh.
The year-by-year table shows how the corpus grows annually. Growth accelerates in later years because compounding works on a larger base.
SIP Calculator in India
India had over 10 crore SIP accounts as of early 2025. Monthly SIP collections regularly cross ₹25,000 crore, reflecting strong retail participation in equity markets.
Equity mutual funds are the most common SIP vehicle for long-term wealth creation. Large-cap funds track established companies and carry lower volatility than mid-cap or small-cap funds. ELSS funds offer a tax deduction up to ₹1.5 lakh annually under Section 80C, with a 3-year lock-in per instalment.
SIP returns are taxed as capital gains. Equity fund units held over 12 months attract LTCG tax at 12.5% on gains above ₹1.25 lakh per year. Short-term gains held under 12 months attract 20%. Each monthly instalment starts its own 12-month clock. Only instalments older than one year qualify for LTCG treatment on partial redemptions.
Rupee cost averaging is SIP's core advantage. When markets fall, the same SIP amount buys more units at lower prices. When markets rise, it buys fewer units. Over time, this reduces the average cost per unit. A lump sum invested at a single point cannot achieve the same averaging effect.
Tips to get the best results
- Use 10-12% as the expected return for equity funds over a 10-15 year horizon. That is a reasonable historical average, not a guarantee.
- Increase your SIP amount by 10-15% each year as income grows. A step-up SIP raises the final corpus significantly without a large initial commitment.
- Do not stop a SIP during a market downturn. Continuing through a correction accumulates more units at lower prices, improving the average cost.
- ELSS SIPs give a dual benefit: equity returns and a Section 80C deduction up to ₹1.5 lakh per year. The 3-year lock-in per instalment discourages panic selling during dips.
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