SIP & Lumpsum Calculator

A Systematic Investment Plan is a standing instruction to put a fixed sum into a mutual fund on the same date every month. The fund allots units at that day’s NAV, so the same rupee amount buys more units when the price is low and fewer when it is high. Nothing about it is a product in its own right — it is a way of paying into a fund you have already chosen.

They answer different situations rather than competing. A lumpsum puts the whole amount to work immediately, so it is exposed to everything that happens from day one. A SIP spreads entry across many prices, which softens a bad start and dilutes a good one. The calculator runs either, or both together, and shows the totals side by side rather than picking one.

Each instalment is treated as going in at the start of the month and earning that month’s return — an annuity due. The monthly rate is a twelfth of the annual rate, and the balance rolls forward as balance plus instalment, grown by one month. A step-up simulation and a flat projection therefore agree with each other exactly.

It raises the instalment on a fixed cycle, either by a percentage of the current amount or by a flat rupee addition. The first raise lands after one full cycle, so with a yearly step-up months one to twelve pay the base amount and month thirteen pays the first increase. Raising a SIP in step with your salary is the usual reason to use it.

Because every raise compounds on the one before it, and each raised instalment then compounds for the rest of the term. A percentage step-up applied for twenty years is a geometric series sitting on top of a geometric series. The effect is largest early, since those instalments have the longest left to grow.

There is no rate that is correct in advance. Indian equity indices have delivered long-run returns in the low teens over multi-decade windows, with individual five-year stretches ranging from negative to far above that. The slider matters more than the number you settle on: moving it a point or two shows how much of the projection is assumption rather than arithmetic.

The maturity figure itself is in future rupees. When you solve for a target, the target basis toggle lets you state the goal in today’s money and have it inflated forward, which is the honest way to size a goal that is years out. A figure that looks large in future rupees can be ordinary once inflation is taken out of it.

No — the projection is pre-tax. Equity mutual fund gains are taxed when units are redeemed, so nothing is deducted while the money is invested. The SWP calculator prices the redemption side, including FIFO lots and the yearly long-term exemption.

It runs the same maths backwards. Instead of asking what a known instalment grows into, it asks what instalment reaches a known target — or, in lumpsum mode, what single amount does. Because the maturity value is directly proportional to the instalment, the answer is exact rather than searched for.

Yes. In target mode there is a field for a lumpsum you already hold. It is grown forward at the same expected return and subtracted from the target, so the SIP only has to build whatever is still missing.

It will be close but rarely identical. This treats instalments as landing at the start of each month at a single flat return. A real SIP buys on a specific date at that day’s NAV, so the actual units bought depend on the path the price took, not just its average. Expense ratios and exit loads are also not priced here.

XIRR is the annualised return implied by a series of cash flows on their actual dates, which is the right measure when money goes in at many different times. This calculator works the other way round — you supply a return and it projects a value. The portfolio benchmark tool is where real NAV history gets turned into an XIRR.

The instalments already made stay invested and keep compounding; only the future ones stop. The calculator assumes an unbroken run, so a paused SIP will finish below the projection by roughly the value the missed instalments would have grown into.

Years of investing. Instalments continue for the whole period, and the value is read at the end of it. Holding a completed SIP for further years without adding to it is a lumpsum projection on the closing balance.