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SIP Calculator

To calculate the required SIP amount, Input your estimated rate of return, duration, and desired future value .

Future Value
One Crore
Annual Rate of Return
Twelve Percent
Number of Years
Ten Years

What is SIP?

Systematic Investment Plan (SIP) is a disciplined approach to investing in mutual funds. It allows investors to regularly invest a fixed amount at predetermined intervals (typically monthly or quarterly). SIPs are popular among retail investors due to their simplicity, affordability, and ability to harness the power of compounding over time.

How Can a SIP Calculator Help You?

A SIP (Systematic Investment Plan) calculator helps you plan your investments by calculating the monthly SIP amount required to achieve your financial goal within a specified investment duration. It considers factors such as your target sum, expected rate of return, and the time horizon, providing you with a structured approach to reach your investment objectives efficiently.

  • Goal Planning: Estimating Future Value: A SIP Calculator helps investors calculate the future value of their investments based on the amount invested, expected rate of return, and investment period.
    Setting Realistic Goals: By entering different investment amounts and durations, investors can set achievable financial goals aligned with their needs and aspirations.
  • Financial Projection: Visualizing Growth: Provides a clear projection of how investments will grow over time, illustrating the power of compounding.
    Scenario Analysis: Investors can analyze different scenarios by adjusting investment amounts, frequencies, and expected returns to understand how these variables impact their wealth accumulation.
  • Comparison Tool: Comparing Options: Helps investors compare the potential returns of different SIP schemes offered by various mutual fund companies.
    Making Informed Decisions: Enables informed decision-making by presenting side-by-side comparisons of potential outcomes under different investment scenarios.
  • Risk Management: Understanding Risks: Provides insights into the risks associated with different investment choices and helps investors make risk-adjusted decisions.
  • Tracking Progress: Monitoring Investments: Allows investors to track the progress of their SIP investments against their goals, empowering them to make adjustments if necessary.

How Does the SIP Calculator Work?

The SIP (Systematic Investment Plan) calculator uses the PMT function to calculate the monthly SIP required to achieve a future financial goal, and visualizes the results in a chart.

  • Formula for SIP:
    • PMT = (1 + r)n - 1 FV × r × (1 + r)
    • FV is the future value (target amount).
    • r is the monthly return rate.
    • n is the number of periods in months.

    • Example: If you start with 10000000, expected return of 12 and Investment Period of 10 then the monthly SIP is