SIP Calculator
A systematic investment plan, or SIP, means putting the same amount into an investment every month. Over long periods, two things build up: the money you put in, and any growth on the money already invested. Seeing those two parts separately is one of the clearest ways to understand compounding.
This calculator shows both. Enter a monthly amount, the number of years, and an annual rate that you choose to assume. It then estimates the total you would invest, an estimated value at the end of the period, and the difference between the two. A year-by-year table shows how the gap between "invested" and "estimated value" usually widens in the later years.
The rate is the most important input, and it is entirely your assumption. Market-linked investments do not grow at a steady rate. Values move up and down from month to month and year to year, and they can end below the amount invested. A sensible way to use the calculator is to try a cautious rate, a middle rate and a higher rate, and treat the results as a range of possibilities rather than a single answer.
The arithmetic assumes each instalment is added at the start of the month and compounded monthly. Fund expenses, taxes and exit loads are not included.
How to use this calculator
1. Enter the amount you plan to invest every month.
2. Enter the number of years, as a whole number from 1 to 50.
3. Enter an annual rate to assume. The field starts empty on purpose: the rate is your assumption, not a forecast.
4. Tap Calculate to see the total invested, estimated value and estimated gain.
5. Read the year-by-year table, then repeat with a lower and a higher rate to see a range.
Worked example
Monthly amount ₹5,000. Period 10 years (120 months). Assumed annual rate 10%, so the monthly rate is 10% ÷ 12 = 0.8333%.
• Total invested = 5,000 × 120 = ₹6,00,000
• Estimated value = 5,000 × [(1.008333^120 − 1) ÷ 0.008333] × 1.008333
= 5,000 × [(2.70704 − 1) ÷ 0.008333] × 1.008333
= 5,000 × 204.845 × 1.008333 ≈ ₹10,32,760
• Estimated gain = 10,32,760 − 6,00,000 = ₹4,32,760
At the end of year 1 the estimate is ₹63,351 on ₹60,000 invested; by year 5 it is ₹3,90,412 on ₹3,00,000. At an assumed 0%, the value would simply equal the ₹6,00,000 invested. These are arithmetic illustrations, not expected outcomes.
Frequently asked questions
How does this SIP calculator work?
It adds your monthly amount at the start of each month and compounds the running total every month at the assumed annual rate divided by 12. The year-by-year table shows the totals at the end of each year.
What rate should I enter?
That is your assumption to make. Try a cautious, a middle and a higher rate to see a range. No rate here is a forecast or a promise of returns.
Does the estimate include expenses and taxes?
No. Fund expense ratios, exit loads and taxes are not included, so a real outcome would differ even at the same average rate.
Is this investment advice?
No. It is an educational calculator. It does not recommend any fund, scheme or security.
Education only. These are educational calculators, not investment advice.
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