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SIP Calculator

Find out how your systematic investment plan (SIP) grows into wealth over time with the power of compounding.

SIP Details

Nifty 50 historical average ≈ 12–14%. Use 10–12% for conservative estimate.

⚠️ Returns shown are estimated. Mutual fund investments are subject to market risk. Past performance does not guarantee future returns.

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Why SIP Is the Best Wealth-Building Tool for India's Middle Class

Systematic Investment Plans (SIPs) allow you to invest a fixed amount in a mutual fund at regular intervals — typically monthly. This approach removes the need to time the market and builds the discipline of regular investing, making it ideal for salaried individuals in India.

The Power of Compounding

The magic of SIP lies in compounding. When your returns generate their own returns, the growth becomes exponential over time. A monthly SIP of just ₹5,000 at 12% annual return over 20 years can grow to over ₹49 lakhs — while you've only invested ₹12 lakhs. The remaining ₹37+ lakhs is pure compounding wealth.

How Much Should You SIP?

A common rule of thumb is to invest at least 20% of your monthly income via SIP or other savings instruments. If you earn ₹60,000 per month, aim to invest at least ₹12,000 monthly. Even starting with ₹1,000–₹2,000 and increasing annually is far better than waiting to invest a large amount.

Realistic Return Expectations

SIP Calculator FAQs

Yes, most SIPs can be paused or stopped anytime without penalty. However, stopping early significantly reduces your wealth creation potential. It's better to reduce the SIP amount rather than stop entirely during financial difficulty.
ELSS (Equity Linked Savings Scheme) SIPs qualify for tax deduction under Section 80C up to ₹1.5 lakhs per year. Long-term capital gains (LTCG) on equity mutual fund SIPs above ₹1 lakh are taxed at 10%. Debt fund gains are taxed as per your income tax slab.
Most mutual funds in India allow SIPs starting from ₹500 per month. Some funds allow even ₹100 per month. The key is to start early and increase the amount as your income grows.