Yes, this SIP Calculator is completely free to use without any hidden charges, subscription fees, or premium restrictions. You can perform unlimited SIP calculations for any amount, return rate, and duration. There is no signup required, no login needed, and no premium version to upgrade to. Every feature you see on this page is fully accessible to all users at zero cost, making it one of the most accessible financial planning tools available online for Indian investors.

Absolutely. Your financial data is completely safe and private. This SIP Calculator runs entirely in your web browser using client-side JavaScript. No investment amounts, return rates, or calculation results are ever sent to any server, stored in any database, or shared with any third party. Your browser performs all the calculations locally on your device. Once you close the page, no trace of your data remains anywhere. We do not use cookies, local storage, or any tracking mechanism for your financial inputs.

This SIP Calculator uses the standard compound interest formula (FV = P × ((1+r)^n - 1) / r × (1+r)) that is universally accepted by financial institutions, mutual fund houses, and investment advisors worldwide. The mathematical calculations are precise to the nearest rupee. However, please note that actual mutual fund returns vary based on market conditions, fund performance, and economic factors. The calculator provides estimates based on your assumed return rate, not guaranteed returns.

For equity mutual funds in India, a return rate of 12-15% per annum is commonly used for long-term projections based on historical performance of major indices like Nifty 50 and Sensex over 15-20 year periods. For debt mutual funds, 6-8% is a reasonable assumption. For hybrid or balanced funds, 9-11% is typically used. However, past performance does not guarantee future returns. For conservative planning, financial advisors often recommend using 10-12% for equity SIPs. Always consult a certified financial planner for personalised advice.

Most mutual fund houses in India allow SIP investments starting from as low as ₹100 to ₹500 per month. Many popular schemes from AMCs like SBI Mutual Fund, HDFC Mutual Fund, and ICICI Prudential offer SIPs starting at ₹500. Some newer digital-first fund houses even allow ₹100 SIPs. Our calculator accepts any amount starting from ₹100, so you can plan your investments regardless of your budget. Starting early with even a small amount can create significant wealth over time due to compounding.

Compounding in SIP works by reinvesting your returns to generate additional returns over time. Each monthly SIP instalment earns returns, and those returns also earn returns in subsequent periods. For example, if you invest ₹5,000 monthly at 12% annual return, your first month's investment earns returns for the entire duration, while your last month's investment earns returns for just one month. This cascading effect creates exponential growth, which is why longer SIP durations produce dramatically higher wealth compared to shorter periods.

Yes, increasing your SIP amount periodically is called a Step-up SIP or Top-up SIP. Most mutual fund platforms in India offer this feature where you can increase your monthly SIP by a fixed amount or percentage annually. This strategy is highly recommended because as your income grows, your investments should also grow proportionally. Our calculator currently computes fixed monthly SIP projections. For step-up SIP calculations, you can run multiple scenarios with different monthly amounts and compare the results.

SIP (Systematic Investment Plan) involves investing a fixed amount regularly, typically monthly, while lump sum means investing the entire amount at once. SIP benefits from rupee cost averaging, where you buy more units when prices are low and fewer when prices are high, reducing overall risk. Lump sum investments can potentially give higher returns if timed correctly during market dips. For salaried individuals in India, SIP is generally recommended as it aligns with monthly income, enforces discipline, and reduces the risk of investing at market peaks.

Yes, SIP returns are subject to taxation in India. For equity mutual funds, Short Term Capital Gains (STCG) on units held less than 12 months are taxed at 15%, while Long Term Capital Gains (LTCG) on units held over 12 months are taxed at 10% on gains exceeding ₹1 lakh per financial year. For debt mutual funds, all gains are now taxed at your income tax slab rate regardless of holding period as per recent tax changes. Each SIP instalment is treated as a separate purchase for calculating holding period and tax implications.

Financial experts recommend continuing SIP for at least 7-10 years for equity mutual funds to maximise the benefits of compounding and ride out market volatility. The power of compounding becomes most visible after 10-15 years. For example, a ₹10,000 monthly SIP at 12% annual return grows to about ₹23.2 lakhs in 10 years but jumps to ₹1 crore in 20 years, showing how the second decade produces significantly more wealth than the first. Align your SIP duration with your financial goals like retirement, child education, or home purchase.

Yes, you can stop or pause your SIP at any time without any penalty. SIP is not a binding contract. You can cancel your SIP mandate through your mutual fund app, AMC website, or by informing your distributor. Your existing invested units will continue to remain in the fund and grow based on market performance. Some platforms also offer a SIP pause feature where you can temporarily halt instalments for a few months and resume automatically. However, stopping SIP during market downturns is generally not recommended as you miss buying units at lower prices.

If you miss a SIP payment due to insufficient bank balance, the instalment is simply skipped for that month. There are no penalties, late fees, or charges for missing a SIP payment. Your SIP mandate continues normally and the next month's instalment will be deducted as scheduled. However, if you miss three consecutive SIP instalments, some AMCs may automatically cancel your SIP registration. It is advisable to maintain sufficient balance in your bank account on the SIP deduction date to ensure consistent investments.

Research and historical data analysis shows that the difference in returns between daily, weekly, and monthly SIP is marginal over long investment periods of 10 years or more. Monthly SIP remains the most popular and practical choice for most investors in India as it aligns with salary credits and is easier to manage. Daily SIP offers slightly better rupee cost averaging in theory, but the administrative complexity and minimal return difference make it unnecessary for most investors. Choose the frequency that is most convenient for your cash flow management.