SIP / DCA Investment Calculator
See what investing a fixed amount every month could grow to at a given annual return.
Assumes a constant return and contributions at the start of each month. Markets vary — real returns won't be smooth. Not financial advice.
How it works
The quiet power of monthly investing is that later contributions ride on the growth of earlier ones. At 12% annual return, 5,000 a month becomes about 1.16 million in ten years — of which only 600,000 was contributed. The formula assumes contributions at the start of each month (the standard SIP convention), compounding monthly at your assumed rate.
FAQ
What is a SIP?
A Systematic Investment Plan — investing a fixed amount into a mutual fund every month regardless of price. The term is standard in India; the identical strategy is called dollar-cost averaging (DCA) elsewhere. Same math either way.
Is this the same as dollar-cost averaging?
Yes. Both mean fixed periodic investments. The calculator is currency-agnostic, so it works for rupees, dollars, pesos, or anything else.
Are the returns guaranteed?
No — the annual return is your assumption, not a promise. Equity funds have historically averaged 7–12% annually over long periods, but any given decade can differ wildly. Try a pessimistic and an optimistic rate to see the range.