SIP Calculator to Calculate Systematic Investment Plan Future Earnings

A systematic Investment Plan is an investment scheme that is offered by mutual fund companies, and the SIP calculator does help the investors to invest in small amounts which can be invested on a weekly, monthly, or quarterly basis.

The SIP does offer a disciplined and passive approach for the trial investor who does approach investing and creating some wealth in the long term, and in these calculations, as the amount is being invested in a smaller section, the market volatility will not make much impact on your mutual fund transactions.

Systematic Investment Plan calculator does help the individual to calculate the wrath gain an expanded return after their minimum set maturity has been met and having properly calculated this value, one can get an around value of their maturity which they can plan for saving or for bigger investments further.

Any sudden changes in the market will give you a rough estimate of loss or how much is being deducted from your mutual fund investments and will provide all the options and formulae related to the SIP calculator, so go through this and create your healthy wealth on Systematic Investments.

SIP Calculator

A SIP calculator is a simple tool that allows individuals to get an assumption of returns on their mutual funds’ investments, and the SIP investment is a popular investment that does have the option of millennials lately.

These calculators are designed to give an estimate on mutual fund investment which gives a return value that is calculated based on different values that are derived during the mutual fund investments.

A SIP calculator does not calculate the exit load and expense ratio instead they give the wait gain or expected to earn in the monthly or quarterly or half-yearly investments, and in every investment, the average maturity amount is what an individual does expect and thus having a rough figure of that amount will give them a real value of expectations.

Benefits of Systematic Investment Plan

There are some clear benefits of Systematic Investment Plan investment, which can be easily read from these below-given points, and if you’re interested in SIP, then you can just have a look at these points and ensure you go on the correct investment plan.

  1. Individual don’t need to stress the timing of market
  2. Amount to be invested on monthly basis and the amount can be adjusted if there is a change in market volatility
  3. The passive and easy investment does make you more committed to having a guaranteed investment
  4. Systematic Investment Plan can be canceled anytime
  5. SIP can be created or updated anytime with having Rs 1000 as the least value

How does SIP Calculator Help an Investor?

Here are some major points that will be helpful for an investor when they are trying to use the Systematic Investment Plan.

  • SIP calculator determines a value that you want to invest in
  • Brings you an total amount that you have invested
  • Shows you an round value of the returns

SIP Calculator Formula

Here is the calculator formula which you can take on and try to get your value based on your month or half-year basis. Make use of these formulas rather than going to the online tool.

M = P × ({[1 + i] n – 1} / i) × (1 + i)

In the formula below are parameters defined

  • M = it is the amount you receive on maturity
  • P = it is the amount you invest at regular intervals
  • n = it is the number of payments you have made till date
  • i = it is the periodic rate of interest

Make use of these formulae and calculate the Mutual Fund Systematic Investment Plan based on your values on the SIP calculator, where the amount entered as per your investment will give you a figure of the exact expected maturity amount, and you can also Systematic Withdrawal Plan benefits on SWP calculator at any time.

Frequently Asked Question

What is the minimum amount in a Systematic Investment Plan?

As per the guidance of mutual funds, the minimum amount to be invested is Rs 1,000 and there is no limit in the maximum value. Individuals can decide to change these values anytime and make them an investment for that month, and if an individual fails to fill the investment for a month, will mark their account as inactive and will only be activated once the entire left amount is submitted.

What is the tenure of Systematic Investment Plan?

The maximum investment term of the Systematic Investment Plan is unlimited and will mostly be decided by the age of the individual, and the minimum maturity period is 3 years and that can’t be lowered in any case and individuals will get benefits under the mutual fund’s scheme if there is any demise, you may find the fixed investment goal at any time.

Can Systematic Investment Plan Amount Change?

Yes, the amount that individuals invest in the Systematic Investment Plan scheme can be changed anytime, and the amount should be a minimum of 1000 and the maximum can be based on their capacity of the individual income, and the same can be decreased at any particular without any prior information if the individual does not have enough amount in their hand.