📈 SIP Details
Maturity Amount
₹23.2L
Invested Amount
₹12.0L
Est. Returns
₹11.2L
Total Value
+93.3%
Amount Invested
Wealth Gained
Enter your monthly SIP amount, expected return, and duration. See exactly how much wealth your SIP builds — and how much is your own money vs market gains.
A Systematic Investment Plan (SIP) is a method of investing a fixed sum of money in mutual funds at regular intervals — typically every month. Instead of trying to time the market, SIP lets you invest automatically on a fixed date, building wealth steadily over time.
SIP is India's most popular investment method for a reason: it's simple, automatic, and benefits from two powerful forces — compound interest and rupee cost averaging.
Our SIP calculator uses the standard compound interest formula for periodic investments:
For example: ₹10,000/month SIP at 12% p.a. for 10 years → Maturity = ₹23.2 lakh. You invested ₹12 lakh; the market gave you ₹11.2 lakh extra.
| Fund Category | Expected Returns (p.a.) | Risk Level | Best For |
|---|---|---|---|
| Large Cap Equity | 10–12% | Moderate | 5+ year goals |
| Flexi Cap / Multi Cap | 12–14% | Moderate-High | 7–10 year goals |
| Mid Cap Equity | 14–18% | High | 10+ year goals |
| Small Cap Equity | 15–20% | Very High | 10+ year goals |
| Hybrid / Balanced | 8–10% | Moderate | 3–7 year goals |
| Debt / Liquid | 6–7% | Low | 1–3 year goals |
*Past returns do not guarantee future performance. Equity returns are volatile; use conservative estimates for planning.
Here's a comparison of ₹10,000/month invested for 20 years across three options:
| Investment | Total Invested | Expected Return | Maturity Value |
|---|---|---|---|
| SIP — Equity Fund | ₹24 lakh | 12% p.a. | ₹99.9 lakh |
| SIP — Hybrid Fund | ₹24 lakh | 9% p.a. | ₹67.0 lakh |
| Recurring Deposit | ₹24 lakh | 6.5% p.a. | ₹45.6 lakh |
| Savings Account | ₹24 lakh | 3.5% p.a. | ₹33.0 lakh |
The difference between equity SIP and a savings account over 20 years: ₹67 lakh. That's the power of compounding.
When markets fall, your SIP buys more units. When markets rise, you buy fewer. Over time, your average purchase cost is lower than the market's average price. This is rupee cost averaging — and it works automatically when you do SIP.
💡 Key insight: SIP investors often benefit from market corrections. A dip in the market means your monthly SIP buys more mutual fund units at lower prices, leading to higher gains when markets recover.
| Goal Amount | Duration | Expected Return | Required Monthly SIP |
|---|---|---|---|
| ₹25 lakh (car) | 5 years | 12% | ₹30,800/month |
| ₹50 lakh (down payment) | 8 years | 12% | ₹31,200/month |
| ₹1 crore (retirement fund) | 15 years | 12% | ₹20,000/month |
| ₹1 crore (retirement fund) | 20 years | 12% | ₹10,000/month |
| ₹2 crore (retirement) | 25 years | 12% | ₹12,400/month |
Starting early makes a massive difference. A 25-year-old needs just ₹10,000/month to reach ₹1 crore by age 45. A 35-year-old needs ₹30,000+/month for the same goal.
Equity Linked Savings Scheme (ELSS) funds are a special category of mutual funds eligible for tax deduction under Section 80C. You can invest up to ₹1.5 lakh per year in ELSS SIP and claim full tax deduction. ELSS has the shortest lock-in period (3 years) among all 80C investments and historically delivers 12–15% returns.
ELSS SIP = tax saving + wealth creation + liquidity after 3 years. Compare this to PPF (15-year lock-in) or NSC (5-year lock-in).
📊 Calculate your tax savings too: Use our Income Tax Calculator to see exactly how much tax you save with ₹1.5 lakh ELSS investment under the old regime.
| Feature | SIP (Equity) | PPF | FD |
|---|---|---|---|
| Expected Return | 12–15% | 7.1% | 6.5–7% |
| Lock-in | None | 15 years | As chosen |
| Tax on Returns | 10% LTCG above ₹1L | Tax-free | As per slab |
| Risk | Market Risk | Zero | Zero |
| Min Investment | ₹500/month | ₹500/year | ₹1,000 typically |
| Best For | Long-term wealth | Safe retirement corpus | Short-term parking |
📖 Further Reading: Complete SIP Investment Guide for Beginners in India →