SIP Calculator

Pro

Enter your values below to get instant results

Monthly Investment

₹5,000

Expected Return Rate (% p.a.)

12%

Time Period (Years)

10 years

Total Investment

₹6,00,000

Estimated Returns

₹5,61,695

Future Value

₹11,61,695

Investment Amount

51.6%

Estimated Returns

48.4%

What is a SIP Calculator?

A SIP Calculator (Systematic Investment Plan Calculator) is a financial tool designed to estimate the potential returns on your mutual fund investments. Unlike a lump sum investment, a SIP allows you to invest a small, fixed amount regularly (usually monthly). This calculator determines the future value of these contributions based on an expected annual rate of return.

At Nexli Calculator, our tool demonstrates the power of compounding. Whether you are planning for retirement, a child's education, or buying a home, this tool helps you visualize how small monthly savings can grow into a substantial corpus over 5, 10, or 20 years.

Why Use Our SIP Calculator?

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Visualize Wealth Creation

See exactly how the "Power of Compounding" turns a small monthly amount (e.g., $500) into millions over the long term.

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Inflation Adjusted Goals

Experiment with different return rates (10%, 12%, 15%) to see if your current savings habit is enough to beat inflation.

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Total Profit Analysis

Instantly distinguish between "Amount Invested" (your money) and "Wealth Gained" (profit generated by the market).

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Completely Free

Nexli Calculator offers this investment planning utility 100% free with no account registration required.

SIP Calculation Formula

The calculator uses the standard future value of annuity formula to project returns. Here is the math:

The Formula

FV = P × [ (1+i)ⁿ - 1 ] × (1+i) / i

P: Monthly SIP Amount
i: Monthly Interest Rate (Annual Rate / 12 / 100)
n: Total Number of Payments (Months)

Example Logic

How compounding works monthly.

Unlike simple interest, the profit earned in Month 1 gets reinvested. In Month 2, you earn interest on your principal plus the interest from Month 1.
Over 10-20 years, this "interest on interest" effect causes the wealth graph to curve sharply upward.

How to Use Our SIP Calculator

1

Enter Monthly Investment

Input the fixed amount you plan to invest every month (e.g., $500).
2

Expected Return Rate

Input the annual percentage return you expect (e.g., 12% for Equity Mutual Funds).
3

Select Time Period

Choose the duration in years you intend to keep investing. Click calculate to see the Estimated Returns.

Frequently Asked Questions (FAQ)

What is Rupee Cost Averaging? ▼

Because you invest a fixed amount every month, you buy more units when the market is low and fewer units when the market is high. This averages out the cost of purchase over time, reducing market risk.

Can I change my SIP amount later? ▼

Yes. Most fund houses allow "Step-up SIPs" where you can increase your contribution annually, or you can simply start a new SIP alongside the existing one to increase your total investment.

Are SIP returns guaranteed? ▼

No. Mutual funds are subject to market risks. The returns shown in calculators are indicative based on historical performance. However, over the long term (5+ years), equity funds typically beat inflation.

Can I withdraw money anytime? ▼

Yes, for most open-ended mutual funds, you can redeem your units anytime. However, ELSS (Tax Saving) funds have a 3-year lock-in period, and some funds may charge an exit load if withdrawn within 1 year.

How much tax do I pay on SIP returns? ▼

It depends on the holding period. For Equity Funds held >1 year, gains above a certain limit are taxed as Long Term Capital Gains (LTCG). For <1 year, Short Term Capital Gains (STCG) tax applies.

Is the Nexli SIP Calculator free? ▼

Yes, the Nexli SIP Calculator is 100% free to use for all investors and financial planners.