A SIP (Systematic Investment Plan) Calculator is an online tool that helps investors estimate the potential returns on their mutual fund investments made through SIPs.
SIP investing allows individuals to contribute a fixed amount regularly, helping build long-term wealth with financial discipline.
The calculator provides an estimate of how much your investments could grow over time based on your input values.
While SIP calculators offer a clear projection, it’s important to remember that actual returns may vary due to market fluctuations and other fund-related factors.
These calculators also do not account for additional costs like exit loads or expense ratios, which may affect the final value.
Overall, they serve as a smart planning tool to help you set realistic financial goals.
How Does a SIP Calculator Work?
The SIP Calculator works using the compound interest formula, which shows how your money grows when returns are reinvested periodically.
You simply enter the monthly investment amount, investment duration, and expected annual return rate — and the calculator estimates your total corpus at the end of the period.
The SIP Calculator formula is as follows:
FV = P × [(1 + i)n – 1] × (1 + i) / i
Where:
FV = Future Value (the amount you’ll receive at the end of the investment period)
P = SIP Amount (your regular investment per installment)
i = Periodic Interest Rate (annual return ÷ 12)
n = Total Number of Installments (investment duration in months)
With Rallys Equities SIP Calculator, you can easily visualize how small, consistent investments grow into a significant corpus over time — helping you plan smarter for your financial goals.
