SIP Calculator

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.

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.

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.

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.

LTCG (Long Term Capital Gains) tax applies to equity mutual funds in India. If you hold equity mutual funds for more than 12 months, you pay 12.5% tax on gains above ₹1.25 lakh (effective 23 July 2024 as per Budget 2024-25). For example, if your gains are ₹2 lakhs, you pay 12.5% tax on ₹75,000 (₹2L - ₹1.25L exemption) = ₹9,375 tax.

Our calculator automatically calculates LTCG tax for equity mutual funds held over 12 months: 12.5% tax on gains above ₹1.25 lakh exemption (as of 23 Jul 2024). It shows your estimated returns, tax amount, and final amount after tax deduction, helping you plan your investments better.

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.

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.

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.