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SIP Calculator

See what a monthly SIP or lumpsum investment could grow to over time.

% p.a.
years
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Estimated value after 10 years

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A Systematic Investment Plan (SIP) means investing a fixed amount at regular intervals — usually monthly — rather than all at once. This calculator projects what a monthly SIP, an upfront lumpsum, or a combination of both could grow to at a given expected annual return.

It's useful for setting realistic expectations before committing to a recurring investment, though actual market returns will vary from any fixed assumed rate.

Why the last years contribute so little

Every instalment compounds for a different length of time. Your first payment in a 20-year plan grows for 240 months; the final payment grows for one. That is why the invested amount and the projected value diverge so sharply in the later years — the growth comes almost entirely from money you put in early.

The practical consequence: starting five years earlier usually beats increasing the monthly amount. A $200 monthly SIP started at 25 typically finishes ahead of a $300 SIP started at 35, despite the smaller total contribution.

Cost averaging, honestly

  • Investing a fixed amount at regular intervals buys more units when prices are low and fewer when high, which smooths your average entry price.
  • It does not guarantee a profit, and it does not protect you in a sustained decline — it only reduces the risk of committing everything at a single bad price.
  • In a steadily rising market a lump sum invested on day one usually beats a SIP, because it is exposed to growth for longer. SIPs win on behaviour and cash flow, not on arithmetic.
  • The main benefit is that it makes investing automatic and removes the temptation to time the market.

Choosing a realistic return rate

The number you enter matters more than anything else in this projection, and it is the number people are least careful with. Long-run equity returns in most markets have historically landed somewhere around 10–12% nominal before tax and inflation; debt and fixed-income products run considerably lower. Entering 15% or 20% because a fund did that recently produces a projection that looks encouraging and means nothing.

Run the calculation twice — once at an optimistic rate and once at a pessimistic one — and plan around the lower figure. This is a projection tool, not a prediction, and no rate you type here is a promise from anyone.

Frequently asked questions

How does SIP growth differ from a lumpsum investment?
A lumpsum earns compounding returns on the full amount from day one, while a SIP's early contributions have longer to grow than later ones — the total return depends on both the rate and how contributions are timed.
Does this guarantee the returns it shows?
No — it projects growth at whatever rate you enter as an assumption. Real investment returns fluctuate and are never guaranteed.
Can I model an annual step-up in contributions?
This calculator assumes a fixed monthly amount. For a step-up SIP, rerun the calculation for each year at the increased contribution.
What return rate should I assume?
Use a conservative long-run figure rather than a recent high. Whatever you choose, run the projection a second time at a lower rate to see how sensitive the outcome is to that one assumption.
Does the projection account for tax or exit load?
No. Returns shown are gross. Depending on your jurisdiction and holding period, capital gains tax and any fund exit load will reduce what you actually receive.

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