A SIP (Systematic Investment Plan) lets you invest a fixed amount in mutual funds every month. This calculator shows how your wealth grows through the power of compounding over time.
Worked Example:
SIP = ₹10,000/month | Return = 12% p.a. | Period = 10 years
r = 12÷12÷100 = 0.01 | n = 120
Maturity = ₹23,23,391 (invested ₹12,00,000)
What is XIRR in mutual funds?▾
XIRR (Extended Internal Rate of Return) measures the actual annualised return of your SIP considering the timing of each investment. It is more accurate than simple CAGR for measuring SIP returns.
How is SIP different from lumpsum?▾
In SIP you invest a fixed amount every month, benefiting from rupee cost averaging, buying more units when prices are low. Lumpsum is a one-time investment. SIP is better for regular salaried investors; lumpsum is good when you have a large surplus.
What is the minimum SIP amount?▾
Most mutual funds allow SIP starting from ₹100-500 per month. ELSS funds (tax saving) can be started with ₹500/month. There is no maximum limit.