Financial Instruments

SIP Returns Calculator

Calculate mutual fund SIP returns with optional yearly step-up. See how your monthly investment grows over time.

✓ Runs in your browser · Updated 2026-03-30
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Increase SIP amount every year by this percentage

Enter values and click Calculate Returns to see results

Calculate mutual fund SIP returns with optional yearly step-up. See how your monthly investment grows over time.

Updated: 2026-03-30

SIP Returns Formula

FV = P × [((1+r)n − 1) / r] × (1+r)

  • P — Monthly SIP amount
  • r — Monthly rate of return (annual return / 12 / 100)
  • n — Total number of months

Total Invested = P × n

Wealth Gained = FV − (P × n)

How to Use the SIP Calculator

Enter your monthly SIP amount, expected annual return rate, and investment period in years. Optionally, add a step-up percentage to simulate increasing your SIP amount every year. Click Calculate to see the total value, returns, and a year-by-year breakdown.

What is SIP?

SIP (Systematic Investment Plan) is a method of investing a fixed amount regularly in mutual funds. It helps build wealth through the power of compounding and rupee cost averaging. Unlike lump-sum investing, SIP reduces the impact of market volatility by spreading your investment over time.

SIP Formula

FV = P × [(1 + r)ⁿ − 1] / r × (1 + r) Where: P = Monthly investment amount r = Monthly rate of return (annual return / 12 / 100) n = Total months of investment

What is Step-Up SIP?

A step-up SIP increases your monthly investment by a fixed percentage every year. As your income grows (typical increments of 8–15% in India), increasing your SIP proportionally can dramatically boost your final corpus. A ₹10,000 SIP with a 10% annual step-up for 20 years can generate 50–70% more wealth than a flat SIP.

Expected Returns by Fund Category

Past returns are not guaranteed, but historical averages for Indian mutual funds are: Large Cap 10–12%, Mid Cap 12–15%, Small Cap 14–18%, and Index Funds (Nifty 50) 11–13% over 10+ year periods. For conservative projections, use 10–12%. These figures are pre-tax.

Frequently Asked Questions

What is a good SIP return rate?

Historically, equity mutual funds in India have delivered 12–15% annualised returns over 10+ year periods. However, past performance doesn't guarantee future results.

What is step-up SIP?

Step-up SIP means increasing your SIP amount by a fixed percentage every year — typically 10%. This aligns with salary growth and significantly boosts long-term returns through compounding.