A step-up SIP increases your monthly investment by a fixed percentage every year, usually in line with your salary. This calculator shows what that could grow to, and compares it with a SIP that stays the same throughout.
How it works
Your SIP stays the same for twelve months and then rises by the percentage you choose at the start of each new year. Each instalment grows at the assumed annual return, compounded monthly. The calculator then compares the result with a flat SIP of your starting amount over the same period.
For example, starting at ₹10,000 a month and raising it by 10% a year for 20 years at an assumed 12% return gives an estimated ₹1.99 crore, compared with about ₹1 crore from a flat ₹10,000 SIP. You invest more in total (about ₹68.7 lakh against ₹24 lakh), but the difference shows how much small yearly increases can add over long periods.
Points to remember
- Choose a step-up rate you can sustain; most people link it to expected salary increases.
- Many fund houses let you set an automatic annual top-up on your SIP.
- Returns are assumptions. Actual returns vary year to year and are not guaranteed.
Read more: Step-up SIPs: how a 10% yearly increase changes your retirement number. You may also find the Retirement Calculator useful.
Mutual fund investments are subject to market risks. Please read all scheme related documents carefully before investing. This calculator is for educational purposes only and does not constitute investment advice.