Prospective investors can think that SIPs and mutual funds are the same. However, SIPs are merely a method of investing in mutual funds, the other method being a lump sum. A SIP calculator is a tool that helps you determine the returns you can avail when parking your funds in such investment tools. Systematic Investment Plan or SIP is a process of investing a fixed sum of money in mutual funds at regular intervals.

1. They lock you into regular investments, so you can render those self-discipline tricks you’vebeen learning to the past.
2. Trusted by over 2 Cr+ clients, Angel One is one of India’s leading retail full-service broking houses.
3. You can use the SIP calculator for mutual funds like equity (like small-cap, mid-cap, large-cap,etc.), debt, and hybrid funds, ELSS, and index funds.
4. The manual computation can be slightly labor-intensive since SIPs typically involve a monthly payment.
5. In the case of a perpetual SIP, there is no SIP end date so, you can continue making SIP investments as long as you like without any need to extend your SIP duration.

How do I use a SIP calculator for investment planning?

The calculator computes the values and gives how much you need to invest monthly to reach your investment target as per the duration and rate of return. Some types of systematic investment plan (SIP) such as flexible SIP allow you to modify your SIP amount. But in the case of other types of SIP, once you have started a SIP, you are not allowed to modify the SIP amount during the selected investment tenure. You can however pause or cancel the existing SIP based on your investment goals. In this case, you can use the sip amount calculator to figure out the SIP you need to reach your investment goal.

For example, if you invest ₹30,000 monthly in a multi-SIP, you can split the amount into five schemes, buying units of ₹6,000 each. It makes investing in multiple SIPs a much smoother process and helps add to the diversity of your SIP portfolio. SIP is one of the most recommended techniques of investing in mutual funds, especially equity and hybrid funds. Equity and hybrid funds can be volatile and SIPs help smoothen out that volatility over time. With debt funds, SIPs are optional as they tend to be less volatile.

How to use ClearTax SIP Calculator?

They ask very little of you, so you can sit back and watch them grow. Once you’ve made your initial choices, you don’t need to give them further attention. SIPs are paid in small sums, sothey’re perfect for cash-poor investors. They rely on a dollar-cost averaging strategy, which divides your investment amount across regular asset purchases.

Can I start SIP at any time or when the market is high?

A Systematic Investment Plan (SIP) allows you to invest little amounts of money in mutual funds on a monthly basis rather than a lumpsum amount. This strategy helps to average out investment costs and gains from compounding growth. SIPs are flexible allowing you to choose the amount and duration as per your financial goals. SIPs are specially meant for retail investors, who do not have time and resource to follow up the market on daily basis. It’s sole purpose is to save the investors from market volatility by leveraging upon the cost averaging. Any investor is free to stop investing in such plan anytime and increase or decrease the monthly investment.

If you are not satisfied with the end prorated definition and meaning amount, you can decide whether to increase the investment period or find another SIP that gives a higher return. SIPcalculator.net is free online SIP Calculator tool that calculates return on your Systematic Investment Plan (SIP) for a certain amount of period. To get the SIP return for your investment, enter all of the values in the calculator input area and hit the calculate button. This tool not only provides you SIP return value and maturity amount but also high quailty Graphs and Table to better analyse you investments and financial goals. With SIP, your money is spread over time, and only some parts of your total investments face the risk of market volatility.

Related Mutual Fund SIP Calculators

SIP Calculator is a valuable tool that helps investors estimate the future value of their mutual fund investments made through a Systematic Investment Plan (SIP). By inputting the monthly SIP amount, investment duration, and expected rate of return, the calculator can determine the projected corpus amount at maturity. This tool empowers investors to make informed financial decisions by providing a clear understanding of the potential growth of their SIP investments. These mutual fund sip calculators are designed to give potential investors an estimate on their mutual fund investments. However, the actual returns offered by a mutual fund scheme varies depending on various factors. The SIP calculator does not provide clarification for the exit load and expense ratio (if any).