Project the maturity value of a monthly Systematic Investment Plan.
A SIP invests a fixed amount every month, and each instalment compounds for a different length of time. The maturity value is calculated using the future value of a growing annuity:
M = P × [ ( (1 + i)^n − 1 ) / i ] × (1 + i)
Where P is the monthly instalment, i is the monthly rate of return, and n is the total number of instalments.
Equity mutual funds in India have historically delivered a wide range of long-term returns depending on the market cycle and fund category. Many investors model conservative, moderate and optimistic scenarios (for example 8%, 12% and 15%) rather than relying on a single number.
Yes — gains from equity mutual funds are subject to capital gains tax, with different rates for short-term and long-term holdings. Debt fund taxation follows separate rules. Check current capital gains rules before making investment decisions.
Yes, this is called a "step-up" or "top-up" SIP. This calculator assumes a fixed monthly amount throughout — a step-up SIP would produce a higher maturity value than shown here.