How Much is 50,000 Monthly SIP for 5 Years using the SIP Calculator?

A ₹50,000 monthly Systematic Investment Plan (SIP) over 5 years (60 months) can grow significantly depending on the expected rate of return. The total amount invested over this period is:

₹50,000×60=₹30,00,000₹50,000×60=₹30,00,000

To estimate the future value of this SIP, we use the SIP Calculator with the formula:

FV=P×((1+r)n−1r)×(1+r)FV=P×(r(1+r)n−1)×(1+r)

Where:

P=₹50,000P=₹50,000 (monthly investment)

r=12%12=1%=0.01r=1212%=1%=0.01 (monthly rate of return)

n=60n=60 (number of months)

Plugging in the values:

FV=50,000×((1+0.01)60−10.01)×1.01FV=50,000×(0.01(1+0.01)60−1)×1.01

This calculation yields approximately ₹41.24 lakh.

This means that by investing ₹50,000 every month for 5 years at an assumed annual return of 12%, your investment could grow to around ₹41.24 lakh, reflecting gains of about ₹11.24 lakh over the invested capital.

The power of compounding and regular investing through SIPs helps build wealth steadily over time. Note that actual returns may vary due to market fluctuations, and the assumed 12% annual return is an estimate based on historical mutual fund performance.