A SIP of ₹10,000/month for 15 years at 12% grows to ₹50.46 L.
Future Value = P × {[(1 + r)^n − 1] ÷ r} × (1 + r), where P = monthly SIP amount, r = monthly return rate (annual ÷ 12 ÷ 100), n = number of months
| Input | Value |
|---|---|
| Monthly SIP Amount | ₹10,000 |
| Expected Annual Return | 12% |
| Investment Period | 15 yr |
| Annual Step-Up | 0% |
| Total Corpus | ₹50,45,760 |
| Total Invested | ₹18,00,000 |
| Total Gains | ₹32,45,760 |
| Wealth Multiplier | 2.8× |
| Absolute Return | 180.32% |
| Expected Annual Return | 12% |
How the SIP calculator works
A SIP grows through two engines at once: the money you add every month, and the compoundingEarning returns on your returns — growth that accelerates over time. on everything already invested. The calculator applies your expected annual return (converted to a monthly rate) to each instalment for exactly as long as that instalment stays invested — your first month’s ₹10,000 compounds for the full tenure, the last one for barely a month.
Is 12% a realistic SIP return?
As a long-run planning average for diversified Indian equity funds, 11-13% is the historically honest range — but it is an average across crash years and boom years, not an annual rate. Use 10-11% for goal planning so surprises are pleasant, and expect any single year to look nothing like the average.
Does a SIP guarantee returns?
No. A SIP guarantees only discipline and rupee-cost averaging — returns come entirely from the fund it buys. Equity SIPs can show losses for 2-3 year stretches; the mechanism’s edge is that instalments during falls buy more units, which pays off when you hold through the recovery.
What happens if I increase my SIP every year?
Dramatically more than intuition suggests: a 10% annual step-up on a ₹10,000 SIP at 12% roughly doubles a 20-year corpus (from ~₹1 crore to ~₹2 crore). Use the step-up SIP calculator to model it — matching your SIP to salary growth is the single strongest lever you control.