SIP Calculator
Estimate the potential return on your Systematic Investment Plan (SIP) or recurring deposits. Adjust investment sizes, expected interest rates, and analyze your wealth growth.
Future Projections
| Years | Invested | Total Value |
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What is a Systematic Investment Plan (SIP)?
A Systematic Investment Plan (SIP) is an investment strategy offered by mutual funds that allows you to invest a fixed amount of money regularly (monthly or quarterly) rather than a single lump sum. SIPs encourage disciplined savings, allow you to take advantage of **Rupee-Cost Averaging** (buying more units when prices are low and fewer when prices are high), and unlock the massive power of **compounding interest** over the long run.
The SIP Formula Explained
Our SIP calculator uses the standard future value formula to estimate your returns:
M = P × [ ( (1 + i)n - 1 ) / i ] × (1 + i)
Where:
- M: The future wealth or maturity amount.
- P: The monthly investment amount.
- i: The monthly interest rate (annual interest rate ÷ 12 ÷ 100).
- n: The total number of installments (number of years × 12).
Why Use this SIP Return Estimator?
Calculating compound interest over 10 or 20 years by hand is complex. Our calculator makes it simple by providing:
- Instant Updates: Move the sliders to immediately see how adding Rs. 1,000 more per month or investing for 5 more years changes your final returns.
- Visual Insights: A color-coded split progress bar showing what percentage of your final portfolio is money you directly saved versus interest earned.
- Long-Term Projections: An automated future projections table showing your wealth milestones at 5-year intervals, illustrating the compounding curve.