SIP Calculator.

The calculator uses the standard SIP future value formula that most Indian mutual fund platforms use, which assumes each monthly instalment grows at a fixed monthly rate, derived by dividing your expected annual return by twelve, and compounds every month for the remaining months in your investment period. In formula terms, the future value equals the monthly instalment multiplied by the quantity, the monthly compounding factor raised to the power of the total number of months, minus one, divided by the monthly rate, then multiplied by one plus the monthly rate to account for each instalment being invested at the start of the month rather than the end. This is why a SIP maturity value is not simply the monthly amount times the number of months times a flat return; it compounds progressively, with earlier instalments benefiting from more months of growth than later ones. The result is the same formula and convention used by AMFI and most fund house SIP calculators, so the figure you see here should closely match what you would find on a mutual fund website for the same inputs.

There is no fixed or guaranteed rate, since equity mutual fund returns depend on market performance and vary meaningfully across different time periods, but a commonly used long-term planning assumption for diversified Indian equity funds is somewhere between 10 and 14 percent annually, based on historical long-term averages over ten to twenty year periods. It is sensible to run the calculator at more than one assumption, for example a conservative 8 to 10 percent and an optimistic 12 to 14 percent, to see a realistic range of outcomes rather than anchoring to a single number. Debt mutual funds and more conservative instruments typically project lower returns, often in the 6 to 8 percent range, reflecting their lower risk profile. Whatever rate you choose, treat the maturity value as a planning estimate rather than a promise, since actual mutual fund returns fluctuate year to year and can be significantly higher or lower than any long-term average in a given period.

SIP investments are, by their nature, a series of monthly contributions rather than a single lump sum, so the correct way to project their growth is to compound each monthly instalment individually for the number of months it remains invested, rather than treating the whole SIP as a single annual compounding event. This monthly compounding approach is the standard convention used by AMFI, the Association of Mutual Funds in India, and virtually every fund house SIP calculator, which is why this tool follows the same method rather than a simplified annual approximation that would produce a less accurate figure. Practically, this means an instalment invested in month one benefits from compounding across the entire period, while an instalment invested in the final month barely compounds at all, and the formula correctly accounts for this staggered timing. Using monthly compounding rather than annual compounding typically produces a very similar but slightly different figure than a rough annual approximation, and matching the industry-standard method is why this tool numbers should align closely with what you see on fund house websites.

No, this calculator assumes a fixed monthly SIP amount for the entire investment period and does not model a step-up SIP, where you increase your monthly contribution by a fixed percentage each year, typically to keep pace with rising income. A step-up SIP generally produces a meaningfully larger maturity value than a flat SIP of the same starting amount, because later, larger instalments still get a reasonable number of years to compound, and increasing contributions over time is a realistic reflection of most people rising income through their career. If you plan to increase your SIP annually, you can approximate the effect by running this calculator multiple times, once for each few years at the higher contribution level, and combining the segments, though this will only be an approximation rather than an exact step-up calculation. For now, treat this tool result as a conservative baseline using your starting SIP amount held flat, understanding that a genuine step-up approach would likely produce a somewhat higher final corpus.

No, absolutely not. The maturity value this calculator shows is a projection based on the annual return percentage you enter, which is an assumption you supply, not a guarantee of any kind from a mutual fund, from Neweb, or from any regulatory body. Mutual funds, particularly equity mutual funds, are market-linked instruments whose actual returns vary from year to year and can be significantly higher or lower than any long-term average in a given period, including periods of negative returns during market downturns. The figure this tool produces is useful for goal planning, deciding how much to invest monthly to reach a target corpus, and for understanding how compounding and time horizon affect outcomes, but it should never be treated as a promised or assured result. Before investing in any mutual fund, read the scheme related documents carefully, understand that mutual fund investments are subject to market risks, and consider consulting a registered financial advisor for guidance suited to your specific goals and risk appetite.

A SIP, or Systematic Investment Plan, spreads your investment across regular monthly instalments over time, which has the practical benefit of rupee-cost averaging, since you buy more mutual fund units when prices are low and fewer when prices are high, smoothing out the effect of market volatility on your average purchase cost. A lumpsum investment, by contrast, puts the entire amount into the market on a single date, which can produce a higher return if that timing happens to be favourable, but also carries more timing risk if the market falls shortly after you invest. For most individual investors without the ability to time markets reliably, a SIP is generally considered the more disciplined and lower-stress approach, since it removes the emotional difficulty of deciding when to invest a large sum and instead builds the habit of regular investing regardless of market conditions. This calculator is built specifically for the SIP style of investing; for a one-time lumpsum projection, the compounding formula is simpler, a single amount growing at a fixed annual rate for a number of years, without the monthly instalment structure this tool uses.

No, every calculation runs entirely within your own browser using JavaScript on the page, and the monthly SIP amount, expected return and investment period you enter are never transmitted to us or to any third party. There is no account, login or saved history, so you can freely test different SIP amounts, return assumptions and time horizons with your real financial goals in mind without any privacy concern, and the projected maturity value appears instantly because nothing has to travel over a network connection. The trade-off is that the tool does not remember your inputs between visits, so if you want to keep a particular projection for reference, note the figures down or take a screenshot before you change the inputs or close the tab. This local-only design also means the calculator keeps working even if your connection is unstable, since all the maths happens on your own device rather than on a remote server, making it private and reliable for planning your investments.