📈
SIP Calculator
Calculate the future value of your Systematic Investment Plan (SIP) contributions.
✓ Free
✓ Instant Results
✓ No Sign-up
SIP Calculator
Enter your values below to get an instant, accurate result.
Calculating…
Monthly Payment
$0
Payment Schedule
| Year | Principal | Interest | Balance |
|---|
⚠️ Results are estimates for informational purposes only. Actual figures may vary. Read Disclaimer
How Is Investment Growth Calculated?
FV = P(1 + r/n)^(nt) + PMT × [(1 + r/n)^(nt) − 1] / (r/n)
Variable Definitions
- FV
- Future value of the investment
- P
- Initial principal (lump-sum investment)
- r
- Annual interest rate (as a decimal)
- n
- Number of times interest compounds per year
- t
- Time in years
- PMT
- Regular monthly contribution
💡 This formula combines the compound interest formula with the future value of an annuity formula to account for ongoing contributions.
Frequently Asked Questions — Investment Calculator
Historical average annual returns have been approximately: S&P 500 index funds: ~10% before inflation; Diversified stock portfolio: 7%–9%; Balanced stock/bond portfolio: 5%–7%; Bonds: 3%–5%; High-yield savings: 4%–5% (current rates). We recommend using conservative estimates (6%–8%) for long-term projections.
The more frequently interest compounds, the faster your money grows. Daily compounding yields slightly more than monthly, which yields more than annual. For most investment accounts, the difference between monthly and daily compounding is small. The biggest factor in long-term wealth is consistent contributions and a long time horizon.
The best time to start investing is as early as possible. Thanks to compound interest, money invested in your 20s has 40+ years to grow. Waiting just 10 years to start can result in dramatically less wealth at retirement, even if you invest the same total amount. Start with what you can afford and increase contributions over time.