SIP Calculator
Free SIP Calculator with Step-Up & LTCG Tax: Calculate SIP returns, maturity amount, and after-tax returns. Features step-up SIP and LTCG tax calculation (10% on gains above ₹1L). Best online SIP calculator for mutual fund planning.
Invested amount
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Est. returns
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Total value
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Tax (LTCG @ 10%)
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On gains above ₹1L
Final amount
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After tax deduction
What is SIP?
SIP (Systematic Investment Plan) is a method of investing in mutual funds where you invest a fixed amount regularly (monthly, quarterly, etc.) instead of investing a lump sum at once. It helps in averaging the cost of investment over time and removes the need to time the market.
SIP Formula
FV = P × [((1 + r)^n - 1) / r] × (1 + r)Where:
- FV = Future Value (Maturity Amount)
- P = Monthly SIP Amount
- r = Monthly rate of return (Annual rate ÷ 12 ÷ 100)
- n = Number of months (Investment period × 12)
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Frequently Asked Questions
What is SIP?
SIP (Systematic Investment Plan) is a method of investing in mutual funds where you invest a fixed amount regularly (monthly, quarterly) instead of a lump sum. It helps in rupee cost averaging and reduces the impact of market volatility.
How does SIP calculator work?
SIP calculator uses the formula: Maturity Value = P × [((1 + r)^n - 1) / r] × (1 + r), where P is monthly investment, r is monthly return rate, and n is number of months. Our calculator also supports step-up SIP where you can increase your investment annually.
What is Step-Up SIP?
Step-Up SIP allows you to increase your monthly investment amount annually. You can choose to increase by a percentage (e.g., 10% per year) or by a fixed amount (e.g., ₹5,000 per year). This helps you invest more as your income grows, accelerating wealth creation.
How does Step-Up SIP work?
In Step-Up SIP, your monthly investment increases at the beginning of each year. For example, if you start with ₹10,000/month and set a 10% step-up, your investment becomes ₹11,000/month in year 2, ₹12,100/month in year 3, and so on. This feature helps you build wealth faster as your income increases.
What is LTCG tax on mutual funds?
LTCG (Long Term Capital Gains) tax applies to equity mutual funds in India. If you hold equity mutual funds for more than 1 year, you pay 10% tax on gains above ₹1 lakh. For example, if your gains are ₹2 lakhs, you pay 10% tax on ₹1 lakh (₹2L - ₹1L exemption) = ₹10,000 tax.
How is LTCG tax calculated in this calculator?
Our calculator automatically calculates LTCG tax for equity mutual funds: 10% tax on gains above ₹1 lakh exemption, if the investment period is more than 1 year. It shows your estimated returns, tax amount, and final amount after tax deduction, helping you plan your investments better.
What is the difference between SIP and Lumpsum?
SIP involves regular monthly investments, while Lumpsum is a one-time investment. SIP helps in averaging costs and reducing market timing risk, while Lumpsum can provide higher returns if invested at the right time. Our calculator supports both modes so you can compare which strategy works better for you.
Should I use Step-Up SIP?
Step-Up SIP is ideal if your income increases over time. By increasing your investment annually, you can build wealth faster without significantly impacting your lifestyle. Even a 5-10% annual step-up can significantly boost your final corpus compared to a fixed SIP amount.
Does this calculator show after-tax returns?
Yes! Our SIP calculator shows your total investment, estimated returns, LTCG tax amount (if applicable), and final amount after tax deduction. This gives you a realistic picture of your actual returns, helping you make informed investment decisions.