Investment calculator
What a raise, invested, does
Most people’s income rises every year and their SIP does not. This is what closing that gap is worth.
Set this to roughly your annual increment and the SIP keeps pace with your income instead of falling behind it.
What it grows to
—
Indicative only, based on the assumptions below. Not an offer or a guarantee.
What this assumes
- The increase applies once every twelve months, on the anniversary.
- Contributions at the start of each month, compounded monthly at a constant rate.
- Your income actually rises enough to sustain the increase. If it does not, the mandate fails rather than shrinking.
The boring bit
The gap nobody notices closing
A SIP set at ₹10,000 in 2016 and never touched is, in real terms, a much smaller commitment today than it was then. Income rose, prices rose, and the instruction to the bank did not. Most people discover this only when they add it up.
Raising it with your increment does two things at once. It keeps the contribution constant as a share of income, which is what makes it sustainable. And because each increase still has years left to compound, a modest annual step produces a result far out of proportion to the extra money involved — which is what the comparison row on this page is showing.
The reason to automate it is behavioural rather than mathematical. A step-up mandate happens whether or not you remember, and the alternative requires deciding to invest more in the same month you have decided what to do with a raise.
Each year’s twelve contributions are compounded for the remaining term, then summed; the contribution rises by the step-up percentage every twelve months
FAQ
Questions about this calculator
What step-up should I set?
Roughly your annual increment, so the SIP holds its share of your income rather than shrinking against it in real terms. Ten per cent is a common starting point. Anything you will actually sustain beats a larger figure you cancel in year three.
Can I set this up automatically?
Yes — most platforms support a step-up mandate that raises the amount for you on a set date each year, which is the whole point. Doing it manually means remembering, and people do not.
What if I need to pause it?
Pausing is far better than stopping. The damage in this calculation comes from the years missed, not from the amount, because the earliest contributions are the ones with the longest to compound.
Turn the number into a plan
A calculator gets you to a figure. Getting there needs a product, and that is the part we do.