A Systematic Investment Plan (SIP) is a way of investing a fixed amount into a mutual fund at regular intervals — most commonly every month. Instead of trying to time the market, you invest steadily and let two forces work for you: rupee-cost averaging and compounding.

This calculator estimates the future value of your monthly investments assuming a constant periodic return. It multiplies your instalment by the number of months to show total invested, projects the corpus with the formula below, and reports the difference as estimated gains.

The future value of a monthly SIP is estimated as:

FV = P × [ (1 + i)n − 1 ] / i × (1 + i)

where P is the monthly instalment, i is the monthly return (annual rate ÷ 12), and n is the number of instalments. The final (1 + i) assumes each instalment is invested at the start of the month.

Early gains stay invested and generate further gains, so the corpus does not grow in a straight line — it accelerates. This is why the “start 5 years earlier” difference is so large relative to the extra money invested: those early years compound the longest.

A SIP spreads your entry across many dates and averages your purchase price, which reduces timing risk. A lump sum invests everything at once and can benefit more in a rising market, but exposes the full amount to a fall right after investing. Neither is universally better — it depends on your cash flow and comfort with short-term volatility. Compare both with the Lumpsum calculator.

Because it assumes a fixed return, this tool cannot capture the ups and downs of real returns or measure your actual annualised return. For real, dated cash flows, XIRR is the appropriate measure. Treat every figure here as one illustration among many possible outcomes.