How is SIP return calculated?

SIP returns are calculated using the formula: FV = P × {[(1 + i)^n – 1] / i} × (1 + i), where FV is future value, P is monthly SIP amount, i is monthly interest rate (annual rate ÷ 12 ÷ 100), and n is total number of months.

Is SIP return guaranteed?

No, SIP returns are not guaranteed. The returns shown by our calculator are estimates based on the assumed annual return rate you enter. Actual mutual fund returns depend on market performance and can be higher or lower.

What is a good SIP return rate to assume?

For planning purposes, most financial advisors suggest using 10-12% for large-cap/index funds, 14-16% for mid-cap funds, and 7-8% for debt funds. The Nifty 50 has historically delivered about 12-13% CAGR over long periods.

How much SIP do I need for 1 crore?

At 12% annual return: ₹10,011/month for 20 years, ₹21,300/month for 15 years, or ₹43,500/month for 10 years. Use our Goal SIP Planner for personalized calculations.

SIP Calculator

By MySIPCalc Editorial | Last Updated: May 5, 2026

Calculate the future value of your monthly SIP investments

Monthly Investment

₹

₹500₹1,00,000

Expected Return Rate (p.a.)

1%30%

Time Period

1 Yr40 Yr

Invested Amount

₹6,00,000

Est. Returns

₹5,61,695

Total Value

₹11,61,695

Year	Invested (₹)	Returns (₹)	Total Value (₹)

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What is a SIP Calculator?

A SIP (Systematic Investment Plan) Calculator is a free online financial tool that helps you estimate the future value of your monthly mutual fund investments. Instead of doing complex compound interest calculations manually, you simply enter three inputs: your monthly SIP amount, expected annual return rate, and investment duration — and the calculator gives you instant results.

Our SIP calculator uses the same formula that banks and mutual fund houses use, ensuring accurate results every time. The results update in real-time as you move the sliders, making it easy to explore different scenarios.

SIP Calculator Formula

The future value of a SIP investment is calculated using:

FV = P × {[(1 + i)^n – 1] / i} × (1 + i) Where: FV = Future Value (maturity amount) P = Monthly SIP amount (₹) i = Monthly interest rate (annual rate ÷ 12 ÷ 100) n = Number of months (years × 12)

Example: For ₹5,000/month at 12% p.a. for 10 years: i = 12/12/100 = 0.01, n = 120. FV = ₹11,61,695. You invest ₹6,00,000 and earn ₹5,61,695 as returns — nearly doubling your money!

Top 3 Benefits of SIP Investing

📉

Rupee Cost Averaging

Buy more units when prices are low and fewer when high, averaging out costs.

⚖️

Financial Discipline

Automated monthly investing ensures you pay yourself first before spending.

🚀

Power of Compounding

Earn returns on your returns. The longer you stay, the faster your wealth grows.

Wealth Creation: SIP vs Fixed Deposit (FD)

While FDs are safe, they often struggle to beat inflation after taxes. Equity SIPs, though volatile, have historically created significant wealth over 10-20 years. See the difference for a ₹10,000 monthly investment:

Duration	Invested Amt	FD @ 6% (Est)	Equity SIP @ 12% (Est)
10 Years	₹12 Lakh	₹16.3 Lakh	₹23.2 Lakh
20 Years	₹24 Lakh	₹46.2 Lakh	₹99.9 Lakh
30 Years	₹36 Lakh	₹1.00 Crore	₹3.53 Crore

How to Use This SIP Calculator

Using the MySIPCalc SIP calculator is simple:

Enter your monthly SIP amount — the amount you plan to invest each month (₹500 to ₹1,00,000)
Set the expected return rate — typically 10-14% for equity mutual funds
Choose the investment period — how many years you plan to invest
See instant results — total invested, estimated returns, and final corpus
Explore scenarios — drag sliders to see how changing inputs affects your wealth

SIP Calculator — Frequently Asked Questions

Start with whatever you can afford — even ₹500/month is fine. The most important thing is to start early. As your income grows, use our Step-Up SIP calculator to increase your SIP by 10% every year, which dramatically boosts your final corpus.

Yes, 12% is a reasonable assumption for large-cap and index funds over a 10+ year period. The Nifty 50 has historically delivered 12-13% CAGR over long periods. However, past returns don't guarantee future results. For conservative planning, use 10%; for aggressive, use 14-15%.

No. SIP in mutual funds does not guarantee returns. Returns depend on market performance. However, SIP reduces risk through rupee-cost averaging — you buy more units when markets fall and fewer when they rise, smoothing out market volatility over time.

At 12% annual return: ₹10,011/month for 20 years, ₹21,300/month for 15 years, ₹43,500/month for 10 years. The power of compounding means starting early dramatically reduces the monthly amount needed. Use our Goal SIP Planner for personalized calculations.

Yes! Most mutual funds allow you to pause, increase, decrease, or stop your SIP at any time. You can also use Step-Up SIP to automatically increase your investment by a fixed percentage every year. Use our Step-Up SIP Calculator to see how this boosts your wealth.

Related Calculators

Explore these related tools to plan your investment strategy better:

Goal SIP Planner

Find exact SIP for your goal

Step-Up SIP Calculator

Increase SIP yearly as salary grows

Lumpsum Calculator

Calculate one-time investment returns

SIP vs Lumpsum

Compare both strategies side-by-side