Free SIP Investment Calculator
See how a monthly investment (SIP or dollar cost averaging) could grow, with an optional yearly step-up and lump sum. Or set a target and find the monthly amount you need.
SIP Investment Calculator: See how a monthly investment (SIP or dollar cost averaging) could grow, with an optional yearly step-up and lump sum. Or set a target and find the monthly amount you need. It is free, needs no sign-up and runs in your browser. How to use it: 1) choose future value or goal mode, then enter the monthly amount or your target; 2) set the expected yearly return, years, optional step-up and optional lump sum; 3) read the future value, invested amount and gains, and check the chart and yearly table. A systematic investment plan (SIP), also called dollar cost averaging (DCA), invests the same amount every month. The calculator runs the plan month by month: it adds each payment, grows the balance at the monthly rate, and raises the payment every 12 months if you set a step-up.
How the SIP calculator works
A systematic investment plan (SIP), also called dollar cost averaging (DCA), invests the same amount every month. The calculator runs the plan month by month: it adds each payment, grows the balance at the monthly rate, and raises the payment every 12 months if you set a step-up. A lump sum at the start grows alongside. Goal mode finds the monthly amount that reaches your target.
Formulas
- Monthly rate:
i = r / 12, or the effective rate(1 + r)^(1/12) - 1 - Level SIP, paid at the start of each month:
FV = M x ((1 + i)^n - 1) / i x (1 + i) - Lump sum:
L x (1 + i)^n - With step-up, year y uses
M x (1 + s)^(y - 1)each month. - Goal mode:
M = (Target - lump sum value) / value of 1 a month - Today’s money:
FV / (1 + inflation)^years
Example: 5,000 a month for 10 years at 12% a year, invested at the start of each month, grows to about 1,161,695 from 600,000 invested.
Limitations
The expected return is your own estimate. Real market returns go up and down, can be negative and are never guaranteed, so treat the result as a scenario, not a promise. Fund fees, exit loads and taxes are not included. Nothing here is investment advice. Speak to a licensed adviser before you invest.
SIP Investment Calculator FAQs
How is SIP return calculated?
Each monthly payment grows at the monthly rate until the end of the plan. For a level SIP paid at the start of each month, the future value is M x ((1 + i)^n – 1) / i x (1 + i), where i is the monthly rate and n the number of months. With 5,000 a month at 12% for 10 years, that is about 1,161,695.
What is a step-up SIP?
A step-up SIP raises your monthly amount by a set percentage every year, usually as your income grows. A 10% step-up on 5,000 means 5,500 a month in year two and 6,050 in year three. Even a small yearly step-up can add a large amount to the final value because the extra money also compounds.
How much should I invest monthly to reach my goal?
Switch to goal mode, enter your target, the years and an expected return. The calculator finds the monthly amount that reaches the target and takes any lump sum into account. For 1,000,000 in 10 years at 12%, you need about 4,304 a month, invested at the start of each month.
Is SIP the same as dollar cost averaging?
Yes, they work the same way. Both invest a fixed amount on a regular schedule, whatever the price. SIP is the common name in India and Pakistan for mutual funds, while dollar cost averaging, or DCA, is used in the US and for stocks or crypto. This calculator works for either.
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