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SIP Calculator - Calculate Returns on SIP Investments

SIP calculator is a tool which allows investors to estimate the return on mutual fund investments through SIP. Axis Mutual Fund SIP Calculator will help you calculate the expected returns for your monthly SIP investment.

SIP calculator is a tool which allows investors to estimate the return on mutual fund investments through SIP. Axis Mutual Fund SIP Calculator will help you calculate the expected returns for your monthly SIP investment.

SIP Calculator - Calculate SIP Returns, Invest in SIP

Find the future value of your monthly/quarterly SIP investment.

10 Lakhs
20 Crores
24 Months
150 Months
2%
13%

Invested amount

Target goal amount

Monthly invested amount

Disclaimer: The calculator alone is not sufficient and shouldn't be used for the development or implementation of an investment strategy. This tool is created to explain basic financial / investment related concepts to investors. The tool is created for helping the investor take an informed decision and is not an investment process in itself. Mutual Fund does not provide guaranteed returns. Investors are advised to seek professional advice from financial, tax and legal advisor before investing.

What is SIP calculator?

An SIP (systematic investment plan) calculator is a financial instrument designed to compute the potential returns on SIPs. SIPs are a popular investment option where investors contribute a fixed amount regularly into preferred mutual funds at specified intervals. To know the future value of such SIP investments, investors need to input their investment amount, investment duration and expected return rate into online SIP calculators. Once done, the SIP calculator instantly displays the results. This provides investors with an idea of how their investments in mutual funds through an SIP can grow over a long time, allowing them to make well-informed decisions and attain their desired wealth accumulation goal by the estimated investment horizon. 

How can an SIP calculator help you?

An online systematic investment plan calculator or SIP calculator is a valuable tool that can benefit investors using SIPs to invest in mutual funds. The benefits of SIP calculators are –

• Precise investment planning

The online SIP calculator accurately calculates potential SIP returns by allowing the investors to input investment amount, tenure and expected return rate. This allows them to plan their finances more efficiently.

• Future value estimation

The SIP calculator provides a precise future value of investments, enabling realistic goal setting and understanding of SIP growth.

• Informed decision-making

The SIP return calculator permits scenario analyses for optimising returns and aligning with financial objectives, encouraging informed decision-making.

• Goal-based planning

SIP calculators facilitate the alignment of SIP investments with specific financial goals, inculcating disciplined investment and realistic target setting.

How does the SIP returns calculator work?

SIP calculators use the SIP return formula to estimate the potential returns on SIPs. The SIP formula is -

FV = P * (((1 + r/n) ^ (n*t))-1) / (r/n)

Where -
• FV represents the final value or maturity value of the SIP investment.
• P is the monthly investment amount or the principal.
• r denotes the expected annual rate of return (in decimal form).
• n represents the number of times that interest is compounded per year (usually monthly).
• t is the investment period in years.

When you input the investment amount, expected rate of return, investment tenure, and the frequency of contributions into the SIP calculator, the free online tool uses this formula to calculate the potential maturity amount of your SIP investment. This helps investors in planning their finances effectively, making informed investment decisions, and setting realistic financial goals.

How to use Axis MF's SIP calculator?

Axis Mutual Fund's SIP calculator enables investors to smartly plan their investments for a goal. The process involves these simple steps -

Calculating required monthly investment -

• Enter your corpus, investment tenure, and expected return rate.
• The calculator presents the necessary monthly contribution.

Estimating wealth creation -

• Specify your monthly investment, investment period, and expected return rate.
• The calculator displays the potential wealth creation.

The SIP amount calculator also allows you the flexibility of modifying values to generate the required result and accordingly make changes in your SIP investment strategy.

Advantages of SIP calculator

A systematic investment plan calculator is a vital tool for investors in mapping their investment journey. This SIP investment planning tool presents several advantages -

Effective planning

The calculator provides an estimate of possible returns for effective financial planning.

Future estimation

It provides an estimate of the possible future value of investments by incorporating inflation and supporting realistic goal setting.

Goal-based planning

The calculator allows the alignment of SIP investments with specific goals, instilling a disciplined approach.

Comparison

It helps compare potential returns from various SIPs, assisting in selecting a suitable plan.

Frequently Asked Questions on SIP Calculator

SIP stands for Systematic Investment Plan . SIP is a payment process where the mutual fund investor invests a predetermined amount at regular intervals (usually on a fixed date of every month). SIP is the opposite of the traditional lumpsum investment option, where an individual makes the entire mutual fund investment right at the beginning of the investment cycle. While opting for mutual fund SIP, all an investor needs to do is instruct his/her bank following which, every month on a fixed date a predetermined amount is debited from their savings account and electronically transferred to the mutual fund. As an investor, if you have long term goals like retirement planning or securing the future of your children, you may start a mutual fund SIP and continue investing for the long run. Those who start a mutual fund SIP also stand a chance of benefiting from the power of compounding and rupee cost averaging. The term SIP has become synonymous with mutual funds. A lot of people confuse SIP and mutual funds to be the same, but they aren’t. SIP is easy and hassle free method to continue investing in mutual funds without having to personally visit the fund house. An individual who is KYC compliant can start a mutual fund SIP from the comfort of their laptop or even a smartphone.

SIP calculator is a tool that will help you with an idea of your investments via SIP. These calculators use inputs such as your monthly investment amount, your expected annual rate of return, and the duration of your investment to provide an estimate. However, actual results may vary due to market conditions.

  • Easy to use: The SIP calculator offered by all fund houses is very easy to use. You need to put in very few details in order for the calculator to help you understand how much capital gains you can potentially earn from your investments.
  • Helps with financial planning: The SIP calculator is an easy and fast way for anyone to start their mutual fund investment. It doesn’t take too long for the calculator to give you a rough estimate value once you enter all the necessary details. It helps you understand how much principal amount you need to have in hand to start a mutual fund SIP.
  • Anyone can use this calculator: The SIP calculator works in the favour of everyone. Anyone who wants to understand the estimated value they should be expecting from their SIP investments in mutual funds can use the SIP calculator.
  • Rupee cost averaging: Since you are investing a defined amount in the mutual fund every month via SIP, you may benefit from rupee cost averaging. When the NAV of the fund is low, investors will be allotted more units. Similarly, when the NAV of the fund is high investors are allotted more units.
  • Inculcate the habit of investing regularly: If you know how much you need to invest regularly to get to your goal, you may start investing regularly in mutual funds via SIP and this may inculcate a good habit of regular investing in an investor. To remain invested for the long run, one needs to give their investment a disciplinary approach and starting a mutual fund SIP might be helpful.

Yes, most online SIP calculators are free to use. However, the availability of free calculators may vary depending on the platform or service provider.

The inflation rate in an SIP calculator shows the expected average rise in living costs over the investment time frame. By considering inflation, the SIP calculator gives the investor an accurate estimate of the future value of mutual fund investment. This allows the investors to plan for the “real” instead of “nominal” returns to maintain the buying power of their investments.

To use an SIP calculator for investment planning, you input your monthly investment amount, your expected annual rate of return, and your investment duration. The calculator then provides an estimate of the potential growth of your investment.

Yes, an SIP calculator can calculate negative returns. This feature can be useful in stress-testing investment scenarios. It enables investors to understand the potential impact of market downturns, thus providing a more comprehensive picture of risk in their SIP investments.

Systematic Investment Plans (SIPs) do not offer a fixed interest rate. Instead, the returns on your SIP investments are determined by the performance of the mutual funds you choose to invest in. These returns can fluctuate.

A systematic investment plan (SIP) involves investing a fixed amount regularly in a mutual fund scheme. Conversely, a step-up SIP allows to increase the SIP amount periodically. This could be annually or at any chosen interval. Using a step-up SIP calculator, you can determine the potential growth of investments with these increased contributions, considering the compounded growth on the increased amounts over time.

SIPs can be a useful tool for many investors as they allow for disciplined and regular investment. However, whether an SIP is suitable for you depends on your financial goals, risk tolerance, and investment horizon. It’s important to understand your own financial situation and investment objectives. 

An SIP calculator provides results based on theoretical mathematical formulae on the inputs provided by you. However, it cannot predict future market conditions. Therefore, it cannot provide a precise forecast of future outcomes.

The investment amount in an SIP can vary widely depending on the investor’s financial capacity and the mutual fund’s terms. Some SIPs allow investments as low as a few hundred rupees, while others may require larger amounts. It’s important to review the terms of the specific mutual fund you are considering.

To use an online SIP calculator, you typically need to provide the following details your desired monthly investment amount, your expected annual rate of return, and the duration of your investment in years. Please note that the required details may vary depending on the specific calculator.

The investment duration is a crucial input for an SIP calculator because it directly impacts the growth of the investment. The concept is akin to saving pocket money over time to purchase a phone - you break down your target amount and save bit by bit until you reach your goal. Similarly, the longer the duration of your investment, the more time your money has to grow through the power of compounding. However, it’s important to remember that these are just estimates, and actual results may fluctuate due to market conditions.

An SIP Calculator aids investors by providing an estimate of the potential growth of their investment. It uses inputs such as your investment amount, your expected rate of return, and the duration of your investment to calculate this. However, it’s important to remember that these are estimates and actual results may vary due to market fluctuations.

Disclaimer -Statutory Details: Axis Mutual Fund has been established as a Trust under the Indian Trusts Act, 1882, sponsored by Axis Bank Ltd. (liability restricted to ₹ 1 Lakh). Trustee: Axis Mutual Fund Trustee Ltd.Investment Manager: Axis Asset Management Co. Ltd. (the AMC).Risk Factors: Axis Bank Ltd. is not liable or responsible for any loss or shortfall resulting from the operation of the scheme.Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.