SIP Calculator
Calculate your SIP returns and plan your investment journey
Investment Results
What is a SIP Calculator (Systematic Investment Plan Calculator)?
A SIP Calculator helps you know how much money you can earn by investing a fixed amount every month in mutual funds. It shows how your money grows over time with interest, so you can plan your savings and reach your financial goals easily.
It also helps you decide how much to invest each month to reach a target amount.
With an online SIP Calculator, you can compare different plans and choose the best one for your needs.
Fact To Know
Systematic Investment Plans (SIPs) in India saw record contributions of ₹26,632 crore in April 2025, with 8.38 crore active accounts despite the closure of 95 lakh to 1 crore inactive accounts, AMFI reports.
How do SIP Calculators Work?
A SIP calculator helps you find out how much money you’ll have at the end of your investment. It works using a simple math formula that considers three things:
- How much do you invest every month?
- For how many months you invest, and
- The return (interest) rate.
The calculator assumes your money grows a little every month because of compounding, which means you earn interest not just on your invested money, but also on the interest already earned.
SIP Calculation Formula
The formula used by a Annual SIP calculator is:
M = P × ({[1 + i]ⁿ – 1} / i) × (1 + i)
Where:
- M = the total amount you’ll get at the end (maturity amount)
- P = the amount you invest every month
- n = total number of months you invest for
- i = monthly rate of return (interest rate)
Example of Using SIP Calculator
Let’s say you invest ₹1,000 every month for 12 months at an annual return of 12%.
First, you need to find the monthly return.
You can’t just divide 12% by 12. Instead, use this:
Monthly Return = (1 + Annual Return)^(1/12) – 1
So,
i = (1 + 0.12)^(1/12) – 1 = 0.0095 (or 0.95%)
Now put this value into the SIP formula:
M = 1,000 × ({[1 + 0.0095]^12 – 1} / 0.0095) × (1 + 0.0095)
Your maturity amount will be around ₹12,766 after one year.
How Does a SIP Return Calculator Help You?
1. Estimate Returns: Helps you know how much profit you can earn from your SIP investments.
2. Track Investment: Shows your total invested amount and expected future value.
3. Plan Better: Helps you decide the best SIP and time needed to reach your goal.
How to Use the Systematic Investment Plan Calculator?
- Open the Online SIP Calculator.
- Enter how much money you want to invest every month.
- Add how many years you plan to invest for.
- Enter the expected return rate (for example, 10%).
- Click “Calculate.”
- The tool will instantly show how much your total investment can grow over time.
Advantages of Using an SIP Calculator
Helps you plan better: It shows how much you need to invest every month to reach your goal. This makes it easy to plan your savings and monthly budget.
Saves time: You get instant results without doing any manual calculations.
Easy to use: Just enter basic details like amount, duration, and expected return the calculator does the rest.
Compare SIP options: You can check which SIP plan gives better returns and choose the best one.
Free to use: You can use the SIP calculator anytime, anywhere, without paying anything.
Accurate results: It gives a clear idea of how much your money can grow over time.
Better financial planning: It helps you stay disciplined with your savings and track your progress toward your goals.
Disadvantages of Using an SIP Calculator
Gives Only Estimates: The SIP return calculator shows results based on assumptions. Actual returns can be higher or lower depending on market performance.
Doesn’t Include all Factors: It doesn’t consider things like taxes, inflation, or changes in SIP amount over time, so the final value may differ.
Can Create Overconfidence: Some people completely rely on the calculator and skip proper financial planning or expert advice, which can lead to poor investment decisions.
Conclusion
In short, an SIP financial calculator helps you plan your savings better. By entering a few details, you can easily see how much money you’ll have in the future. It saves time and removes all the guesswork.
If you want to reach your goals faster, start using an financial calculator today. It’s simple, free, and keeps your investments on track.
Frequently Asked Questions
Yes, it shows the actual purchasing power of your returns after inflation.
Daily SIP smooths out volatility better, but results are usually similar to monthly SIP.
It gives estimates based on average returns, not exact future values.
No, most calculators don’t. You must adjust manually.
Enter the same SIP details for each fund separately and compare results.
Yes, step-up options increase investment annually and calculators can show growth.
Few advanced ones do; basic ones usually ignore dividends.
Most calculators use a fixed CAGR; changes must be calculated manually.
Yes, it shows the impact of occasional lump sum investments along with SIP.
It reduces the real worth of your final corpus compared to today’s value.
Basic calculators don’t; some advanced ones let you add tax assumptions.
Calculators don’t show negatives; you must run scenarios with lower/negative CAGR.
Yes, some online tools display rolling return history of mutual funds.
Usually very small; it doesn’t change overall results much.
Enter target amount, SIP duration, and expected return to see if it meets your goal.
No, calculators assume steady growth; they don’t model market crashes.
Compound interest calculator focuses on compounding; SIP calculator adds regular contributions + compounding.
Calculator only shows returns; fund choice depends on your risk profile.
It doesn’t account for skipped SIPs; actual corpus will be lower.