How this calculation works
A SIP spreads investing across recurring contributions. This projection separates what you contribute from the growth implied by your chosen return. Use the lump-sum mode for a one-time investment, or add an annual step-up to model increasing your monthly contribution. The inflation-adjusted figure expresses the projected ending amount in today’s purchasing power. Actual market returns vary, so compare several return assumptions rather than treating one projection as a forecast.
Worked example
This example uses illustrative inputs. Your current result is shown above.
Investing ₹10,000 at the beginning of each month for 10 years contributes ₹12,00,000. At an assumed effective annual return of 12%, with no step-up and 0% inflation, the equivalent monthly rate is (1.12)^(1/12) − 1, approximately 0.9489%. The projected corpus is ₹22,40,358.90, including ₹10,40,358.90 of estimated growth.
Assumptions and limits
- Monthly SIP contributions are added at the beginning of each month; a lump sum is invested at the start.
- The entered annual return is effective: the monthly rate is (1 + annual return)^(1/12) − 1, not simply annual return ÷ 12.
- A step-up increases the contribution after every 12 instalments. Inflation is applied to the final corpus to show today’s purchasing power.
- The projection assumes smooth returns and excludes tax, exit loads and separate fees. Investment returns and capital are not guaranteed.
Questions people ask
Why might another SIP calculator show a different result?
Results depend on whether contributions arrive at the beginning or end of a month and whether the annual return is treated as nominal or effective. This calculator uses beginning-of-month contributions and an effective annual return. Match those assumptions before comparing numbers.
What does a 10% annual step-up mean?
A ₹10,000 monthly SIP becomes ₹11,000 per month after the first 12 instalments, then ₹12,100 after the next 12. The increase affects new contributions; it is separate from the assumed investment return.
Does the inflation-adjusted amount reduce my actual investment balance?
No. It translates the projected final amount into today’s purchasing power. It helps compare a future savings amount with a goal expressed in today’s prices.
How much should I invest to reach a particular amount?
Use Goal SIP to enter your target, current investments and time available. That calculator works backwards to the monthly contribution needed under the stated return and inflation assumptions.