SIP calculator: what could your monthly investment grow to?
A systematic investment plan (SIP) puts a fixed amount into an investment every month. This calculator estimates what such a plan could be worth, and what that is in today's money.
How to use this calculator
- Enter the amount you will invest each month.
- Enter the yearly return you expect. It is a guess, so try a low and a high figure.
- Enter the number of years.
- Optionally enter inflation to see the result in today's money, then read the future value, growth and the yearly table.
Worked examples
Example 1
₹10,000 a month for 15 years at 12% a year, with 6% inflation.
You enter
| Monthly investment | ₹10,000 |
|---|---|
| Expected return (per year) | 12% |
| Years | 15 |
| Inflation (optional, for 'today's money') | 6% |
You get
| Future value | ₹50,45,760 |
|---|---|
| Total you invest | ₹18,00,000 |
| Estimated growth | ₹32,45,760 |
| Future value in today's money | ₹21,05,419 |
Example 2
The same plan with a cautious 8% return.
You enter
| Monthly investment | ₹10,000 |
|---|---|
| Expected return (per year) | 8% |
| Years | 15 |
| Inflation (optional, for 'today's money') | 6% |
You get
| Future value | ₹34,83,451 |
|---|---|
| Total you invest | ₹18,00,000 |
| Estimated growth | ₹16,83,451 |
| Future value in today's money | ₹14,53,523 |
How it works
Each instalment earns returns, and those returns earn returns in later months. That compounding is why the last years of a long SIP add far more than the first years.
No one knows future returns. Markets can fall for years, and a return that is an average over many years can hide big drops. Use the calculator to compare scenarios, not to promise yourself an outcome.
Formula
Each month: balance = (balance + instalment) x (1 + yearly return / 12 / 100), repeated for every month. Instalments are assumed to go in at the start of the month.
Common questions
Is a 12% return realistic?
Long-run equity returns have varied widely and are never guaranteed. Test lower rates too.
Does it include fund charges and tax?
No. Charges and taxes reduce what you keep.
What if I skip a month?
The result would be lower; the calculator assumes every instalment is paid.
Learn more
Read the lesson Compounding and the time value of money on pusaram.com for the ideas behind this calculator.
Calculators give estimates for learning and planning. They are not financial, tax, legal or medical advice, and results depend entirely on the numbers you enter. Check rates, limits and rules with an official source or a qualified professional before acting.