Calculate SIP returns, maturity amount, and wealth gained. Plan your mutual fund SIP with accurate compound interest calculation.
| Year | Monthly SIP | Invested (Cumul.) | Value | Gain |
|---|
Formula: M = P × ((1+r)^n − 1) / r × (1+r) where P = monthly SIP, r = monthly rate, n = months
SIP (Systematic Investment Plan) is a method of investing a fixed amount regularly — typically monthly — into a mutual fund. It allows investors to build wealth gradually through the power of rupee cost averaging and compounding. You can start a SIP with as little as ₹100–500 per month.
Over long periods (7+ years), equity mutual fund SIPs have historically outperformed FDs significantly. FDs offer 6–7.5% guaranteed returns, while equity SIPs have delivered 10–15% p.a. historically. However, SIP returns are market-linked and not guaranteed, while FD returns are fixed and safe. For goals beyond 5 years, SIP is generally preferred.
Large-cap equity mutual funds have historically returned 10–12% p.a. over 10+ year periods. Mid-cap and small-cap funds can return 12–16% but with higher volatility. Balanced/hybrid funds return 9–11%. For planning purposes, using 10–12% is considered conservative and realistic.
Yes! Many mutual fund houses allow SIPs starting from ₹100–500 per month. Popular funds like Mirae Asset, Axis, and HDFC Mutual Fund allow ₹500 minimum SIPs. Starting early with even a small amount creates significant wealth over time due to compounding.
Step-up SIP (also called top-up SIP) allows you to increase your monthly SIP amount each year by a fixed percentage — typically 10–20%. As your income grows, increasing your SIP proportionally can dramatically boost your final corpus. For example, a ₹5,000/month SIP stepped up 10% annually for 20 years creates nearly 2x the corpus compared to a flat SIP.