SIP Investment Calculator

A SIP investment calculator is an online tool that helps you estimate the potential value of regular investments made through a Systematic Investment Plan.

You can enter your monthly investment amount, assumed rate of return, and investment duration to estimate your total investment and estimated future value.

The calculation is an estimate based on the information entered and the assumed rate of return. It does not constitute investment advice or guarantee any particular outcome.

The SIP Investment Calculator uses three main inputs to estimate the potential value of your investment:

• Monthly investment: The amount you plan to invest every month.
• Assumed annual rate of return: The rate used to estimate potential returns.
• Investment duration: The period for which you plan to continue your SIP.

These three inputs help the calculator estimate your total amount invested, estimated returns, and estimated future value.

The commonly used formula for calculating the estimated future value of a monthly SIP is:

FV = P × [((1 + r)ⁿ − 1) / r] × (1 + r)

Suppose you invest ₹5,000 every month for 10 years at an assumed annual return of 12%.

• Total Amount Invested: ₹5,000 × 12 × 10 = ₹6,00,000
• Estimated Returns: ₹5,23,391
• Estimated Future Value: ₹11,23,391

In this example, ₹6,00,000 is the amount you invest, while ₹5,23,391 is the estimated return. Together, they give an estimated future value of ₹11,23,391.

These figures are estimates based on the assumed 12% return. Actual mutual fund returns may vary.

Total Investment

This is the total amount you invest through your SIP over the selected investment period.

For example, investing ₹5,000 every month for 10 years means your total investment is ₹6,00,000.

Estimated Returns

This is the estimated gain calculated based on the assumed rate of return.

In the example above, the estimated return is ₹5,23,391.

Estimated Future Value

This is the estimated value of your investment at the end of the selected period, including your total investment and estimated returns.

In the example, the estimated future value is ₹11,23,391.

These figures are estimates based on the assumptions entered and may differ from actual investment performance.

A SIP involves investing a fixed amount at regular intervals, while a lumpsum investment involves investing an amount at one time.

For example, investing ₹10,000 every month through a SIP is different from investing ₹1,20,000 as a lump sum.

Neither approach is universally better. The suitability of SIP or lumpsum depends on your financial objectives, investment horizon, available funds, and market conditions.

Plan Your Monthly Investment

Compare different monthly investment amounts and understand how they could affect your estimated future value.

Compare Investment Periods

Explore different investment durations and see how the estimated value changes based on the assumptions entered.

Understand Potential Returns

See how different assumed rates of return can affect the estimated future value of your investment.

Explore Financial Goals

Use different investment amounts and durations to explore scenarios that may help you work towards your long-term financial goals.

What is a SIP investment calculator?

A SIP investment calculator is an online tool that estimates the potential future value of regular SIP investments based on your monthly investment, assumed annual rate of return, and investment duration.

How much should I invest in a SIP?

The amount you invest depends on your income, financial goals, existing commitments, investment horizon, and risk profile. You can use the calculator to compare different monthly investment amounts.

Can I use the SIP investment calculator for monthly investments?

Yes. A standard SIP is commonly made through regular monthly instalments. Enter your monthly investment amount and investment duration to estimate the potential future value.

How is SIP investment return calculated?

The calculator uses your monthly investment, assumed rate of return, and number of monthly instalments to estimate the potential future value of your investment.

Can I calculate my SIP investment for 5, 10, or 20 years?

Yes. You can enter different investment durations to compare how your estimated future value may change over time.

Are SIP calculator results guaranteed?

No. SIP calculator results are estimates based on an assumed rate of return. Mutual fund investments are subject to market risks, and actual returns may vary.

Can I increase my SIP investment later?

Depending on the mutual fund and investment platform, you may be able to increase your SIP amount periodically through a step-up SIP.

What is the minimum amount required to start a SIP?

With Indipe, you can start a SIP in eligible mutual funds with an investment amount starting from ₹100. The minimum investment amount may vary depending on the mutual fund scheme and applicable terms.

Is SIP better than a lump sum investment?

There is no single option that is better for everyone. SIP and lump sum investments work differently, and the appropriate approach depends on your financial goals, available funds, investment horizon, and risk tolerance.

The calculations shown are estimates based on the information entered and an assumed rate of return. Mutual fund investments are subject to market risks. Actual returns may vary. The calculator does not guarantee future returns.