SIP Calculator
Free SIP Calculator – Estimate Your Mutual Fund Returns Online
Plan your investments smartly with our SIP Calculator. Find out the maturity amount of your monthly investments instantly.
What is a SIP Calculator?
A Systematic Investment Plan (SIP) calculator is a simple online tool that helps you estimate how much wealth you can build by investing a fixed amount every month in mutual funds. It shows you the future value of your money based on your monthly investment, expected returns, and time period.
How Does SIP Calculator Work?
Using this tool is easy:
- Enter how much you want to invest every month.
- Provide the expected annual rate of return.
- Enter the total number of years you want to continue the SIP.
- Click Calculate to see your maturity amount and total investment.
💡 Example: If you invest ₹5,000 every month for 10 years at a return of 12% per year, the calculator will show you the expected maturity amount.
Why Should You Use a SIP Calculator?
- Helps in planning future financial goals.
- Shows how small investments grow with compounding.
- Lets you compare different scenarios (short-term vs long-term).
- Saves time with instant results.
Formula Behind SIP Calculator
The calculation is based on the formula:
FV = P × ((1 + r/n)^(n × t) – 1) × (1 + r/n) ÷ (r/n)
Where:
- FV = Future Value
- P = Monthly SIP amount
- r = Annual return (decimal)
- n = Number of investments in a year (12 for monthly SIP)
- t = Tenure in years
Frequently Asked Questions
Q1. What is better, SIP or FD?
👉 FD gives guaranteed but lower returns, while SIP can provide higher returns depending on the market.
Q2. Can I stop my SIP anytime?
👉 Yes, you can stop your SIP whenever you want without any penalty.
Q3. What is the usual return rate for SIPs?
👉 Equity mutual fund SIPs usually give around 10–15% annualized returns in the long term.
Q4. Is SIP safe for beginners?
👉 Yes, SIP is considered one of the easiest ways for beginners to start investing.
