About SIP Calculator
A Systematic Investment Plan (SIP) is a method of investing a fixed sum of money regularly, typically monthly, into mutual funds or other investment schemes. Our SIP Calculator helps you estimate the future value of your SIP investments based on your monthly investment amount, expected annual rate of return, and the investment duration.
How SIPs Work:
SIPs encourage disciplined investing. By investing a fixed amount regularly, you can benefit from rupee cost averaging, which can reduce the impact of market volatility. Compounding also plays a significant role, as the returns earned are reinvested to generate further returns.
Using the Calculator:
- Monthly Investment: The amount you plan to invest each month.
- Expected Annual Return Rate (%): The anticipated yearly growth rate of your investment.
- Investment Period (Years): The total duration for which you plan to continue the SIP.
- Initial Investment (Optional): If you have an existing lump sum invested or are starting with one.
The calculator will project the total invested amount, total interest earned, and the maturity value of your SIP. This tool is excellent for planning long-term financial goals like retirement, education funding, or wealth creation.