Interactive Tool
SIP Calculator
Model a monthly SIP that grows a little every year, add a lumpsum if you have one, and see what the corpus actually becomes, year on year.
Why a step up SIP beats a flat SIP
Take a 35 year old investor putting away ₹25,000 a month for 15 years, at an assumed 11 percent annual return. Held flat for the entire period, that SIP turns about ₹45 lakh invested into roughly ₹1.09 crore. Step the same SIP up by 6 percent every year for the first ten years, broadly in line with a normal salary increment, and the investor puts in about ₹66.4 lakh across the period but ends up with close to ₹1.48 crore, nearly ₹39 lakh more, without changing a single assumption about returns.
The gap widens because every rupee added in an earlier year has more years left to compound. A step up SIP is simply a way of letting the investment keep pace with rising income, rather than losing real value to inflation while staying flat for a decade or more. Try your own numbers below.
Run your own numbers
Your inputs
Step up
Monthly SIP amount, year on year (figures in k)
Total invested
₹66.4 L
₹66,40,510
Corpus value
₹1.5 Cr
At end of year 15
Wealth gained
₹81.2 L
122% over invested amount
Corpus build up
Year by year
| Year | Monthly SIP | Invested this year | Cumulative invested | Corpus at year end |
|---|---|---|---|---|
| 1 | ₹25,000 | ₹3,00,000 | ₹3,00,000 | ₹3,17,590 |
| 2 | ₹26,500 | ₹3,18,000 | ₹6,18,000 | ₹6,89,170 |
| 3 | ₹28,090 | ₹3,37,080 | ₹9,55,080 | ₹11,21,823 |
| 4 | ₹29,775 | ₹3,57,305 | ₹13,12,385 | ₹16,23,479 |
| 5 | ₹31,562 | ₹3,78,743 | ₹16,91,128 | ₹22,03,012 |
| 6 | ₹33,456 | ₹4,01,468 | ₹20,92,596 | ₹28,70,350 |
| 7 | ₹35,463 | ₹4,25,556 | ₹25,18,151 | ₹36,36,596 |
| 8 | ₹37,591 | ₹4,51,089 | ₹29,69,240 | ₹45,14,160 |
| 9 | ₹39,846 | ₹4,78,154 | ₹34,47,395 | ₹55,16,907 |
| 10 | ₹42,237 | ₹5,06,844 | ₹39,54,238 | ₹66,60,329 |
| 11 | ₹44,771 | ₹5,37,254 | ₹44,91,493 | ₹79,61,721 |
| 12 | ₹44,771 | ₹5,37,254 | ₹50,28,747 | ₹94,06,265 |
| 13 | ₹44,771 | ₹5,37,254 | ₹55,66,001 | ₹1,10,09,710 |
| 14 | ₹44,771 | ₹5,37,254 | ₹61,03,256 | ₹1,27,89,533 |
| 15 | ₹44,771 | ₹5,37,254 | ₹66,40,510 | ₹1,47,65,137 |
Assumes returns compound monthly at the equivalent monthly rate of the entered annual return. For illustration only, not a guarantee of future performance.
Want a plan built around your actual numbers?
A calculator gives you the maths. A conversation gives you a plan that accounts for your existing investments, your goals, and what you can realistically commit every month.
Frequently asked questions
What is a step up SIP?
A step up SIP is a monthly SIP where the instalment increases every year, usually in line with expected income growth, instead of staying flat for the entire tenure.
How much should I increase my SIP every year?
There is no single right number. Many investors tie the step up to their expected annual salary increment, commonly in the 5 to 10 percent range. Test a few rates above and compare the resulting corpus.
Is 11 or 12 percent a realistic return assumption?
Long term equity mutual fund returns in India have historically varied widely depending on the period considered, and future returns are never guaranteed. Treat any return figure here as a planning assumption, not a promise.
Does a small step up really make a meaningful difference?
Yes, because the extra amount is invested early and compounds for the full remaining tenure. A modest annual increase, sustained over a decade or more, can add a substantial amount to the final corpus.
SampadaSarathi is an AMFI registered Mutual Fund Distributor, ARN-357884. This tool gives directional estimates for planning purposes only, not personalised investment advice. Mutual fund investments are subject to market risk. Please read all scheme related documents carefully.