SIP Return Calculator - Mutual Fund Returns

SIPs (Systematic Investment Plans) are the most popular way for Indian investors to build wealth over time. Instead of waiting for a lump sum, you invest a fixed amount every month and benefit from the power of compounding. This SIP Return Calculator helps you estimate how much your monthly investments can grow, so you can align your savings with long-term goals like buying a home, funding education, or creating a retirement yojana. It is especially helpful for salaried professionals and small business owners who want a simple monthly hisab without complex spreadsheets.

In the Indian mutual fund market, SIPs are widely used for large-cap, flexi-cap, and index funds. Investors often compare options such as SBI Bluechip, HDFC Flexi Cap, ICICI Prudential Bluechip, Axis Growth, or index funds that track the Nifty 50. The exact fund does not change the calculation method, but it influences the return rate you expect. By entering a realistic return rate like 10% to 14%, you can see what your SIP might deliver over 5, 10, or 15 years. This makes it easier to decide whether a ₹5,000 SIP or a ₹10,000 SIP is better for your goals.

What is SIP Calculator?

A SIP calculator estimates the future value of a series of monthly investments. It shows the total amount you invest, the estimated returns earned through compounding, and the final corpus value. SIPs are powerful because each installment gets time to grow, and the growth becomes stronger as your investment horizon increases. This tool provides results in Indian number format, such as ₹1,50,000 and ₹25,00,000, so you can quickly relate the numbers to real-life milestones.

How to use SIP Calculator?

Step 1: Enter your monthly SIP amount, such as ₹2,000, ₹5,000, or ₹10,000. Step 2: Enter the expected return rate. Many equity funds in India aim for 10% to 14% over long durations. Step 3: Enter the investment period in years. Step 4: Click “Calculate SIP” to see your invested amount, estimated returns, and total value. Use the chart to visualize growth year by year, and adjust inputs to compare scenarios. This step-by-step approach gives you clarity on how your SIP will perform and helps you plan your monthly hisab confidently.

Formula / Calculation Logic

The SIP formula is the future value of an annuity: FV = P × (((1 + r)^n − 1) / r) × (1 + r). Here, P is the monthly investment, r is the monthly return rate (annual rate divided by 12 and 100), and n is the number of months. This formula assumes each SIP contribution grows for the remaining tenure. The calculator uses this formula to show total invested value, estimated returns, and the final corpus. It is the same standard calculation used by most Indian financial advisors and mutual fund tools.

Investment vs Returns (Sample Table)

The table below shows sample estimates for a ₹5,000 SIP at a 12% annual return. These values are indicative and help you understand how compounding grows over time.

A major benefit of SIPs is rupee-cost averaging. You buy more units when markets dip and fewer units when markets rise, which smooths volatility over time. This is why SIPs are preferred over lump sum investing by many Indian investors who want steady growth and controlled risk. When you use this calculator regularly, you can adjust your SIP amount to match lifestyle changes, Naukri switches, or new yojana commitments. It becomes a practical planning tool rather than a one-time calculation.

FAQ

Is SIP better than lump sum? SIPs reduce timing risk and create a disciplined investment habit. Lump sum can work if you time the market well, but SIPs are more stable for most Indian investors.

What return rate should I use? For equity mutual funds, long-term returns in India often range between 10% and 14%. Use a conservative figure to keep expectations realistic.

Can I pause or change my SIP amount? Yes. Most fund houses allow you to pause or increase SIP contributions. This flexibility helps if your monthly hisab changes.