Financial Ratio Calculator
Financial Ratio Calculator
COMPOUNDING

Systematic Investment Plan (SIP) Calculator

A Systematic Investment Plan (SIP) enables disciplined investing by depositing a fixed amount regularly into mutual funds. Compute total wealth accumulated and compound interest earned.

Financial Calculator
Input Parameters
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e.g. Rs 10,000 / month
Rs
%
yrs
Calculation Results
Enter your values and click Calculate.

Provide the input parameters on the left to compute the official financial result and metrics.

DECISION MODELINGSENSITIVITY ANALYSIS

Sensitivity Analysis

Evaluate how variations in key operational drivers impact SIP Future Maturity Value.

Varying Expected Equity Rate of Return (%)
Calculate the base model above to view scenario sensitivity rows.

Formula & Methodology

Maturity Amount = Monthly Deposit * [((1 + i)^n - 1) / i] * (1 + i)
P
Monthly SIP Amount

Regular installment deposited every month.

i
Monthly Interest Rate

Annual expected rate of return ÷ 12 ÷ 100.

n
Total Number of Months

Investment duration in years × 12.

Practical Worked Example

A disciplined saver invests Rs 10,000 every month in a diversified equity index fund averaging 12% per year for 15 years.

01.Total installments = 15 × 12 = 180 months.
02.Invested Capital = 180 × Rs 10,000 = Rs 18,00,000.
03.Maturity Corpus = Rs 50,45,760.
04.Net Profit Earned = Rs 32,45,760.
Rs 50,45,760 CorpusConsistent monthly contributions harness rupee-cost averaging to build over Rs 50 Lakhs from an Rs 18 Lakh principal.

Interpretation & Industry Benchmarks

SIP investing leverages rupee-cost averaging, buying more units when market prices drop and fewer units when prices rise.

12-14% Equity Mutual FundsLong-Term Equities

Expected benchmark for large & mid-cap equity mutual funds.

8-10% Hybrid FundsBalanced Funds

Lower volatility mix of debt and equities.

Industry Nuance: Increasing your SIP amount by 10% each year (Step-Up SIP) can boost your final corpus by more than 50%.

Analytical Limitations

  • Mutual fund market returns are subject to market risks; past performance does not guarantee future results.

Frequently Asked Questions

What is Rupee Cost Averaging?

By investing a fixed rupee amount regularly regardless of market levels, you automatically buy more units at low prices and fewer at high prices, reducing your average cost per unit.