Interest Rate Calculator Ing

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SIP Return Calculator

Calculate the future value of your Systematic Investment Plan

Investment Summary

Total Invested
$0
Wealth Gained
$0
Future Value
$0

Understanding SIP Returns

A Systematic Investment Plan (SIP) is a disciplined way to invest in mutual funds or equity markets. Instead of making a large lump-sum investment, you contribute a fixed amount regularly (monthly or quarterly), which helps in averaging the cost of purchase and harnessing the power of compounding.

How the SIP Calculation Works

This calculator uses the formula for the future value of an ordinary annuity, adjusted for investments made at the beginning of each period:

FV = P × [((1 + i)n – 1) / i] × (1 + i)
  • P: Monthly investment amount
  • i: Monthly interest rate (Annual rate / 12 / 100)
  • n: Total number of monthly installments (Years × 12)

Example Scenario

If you invest $500 every month for 15 years at an expected return of 10% per annum:

  • Total Invested: $90,000
  • Wealth Gained: $117,223
  • Total Value: $207,223

Note: SIP returns are subject to market risks. Actual returns may vary based on market conditions.

function calculateSIP() { var monthlyInvestment = parseFloat(document.getElementById("monthlyInvestment").value); var annualReturnRate = parseFloat(document.getElementById("expectedReturnRate").value); var years = parseFloat(document.getElementById("investmentPeriod").value); if (isNaN(monthlyInvestment) || isNaN(annualReturnRate) || isNaN(years) || monthlyInvestment <= 0 || annualReturnRate <= 0 || years <= 0) { alert("Please enter valid positive numbers for all fields."); return; } var monthlyRate = annualReturnRate / 12 / 100; var months = years * 12; // Formula: FV = P × ({[1 + i]^n – 1} / i) × (1 + i) var futureValue = monthlyInvestment * (Math.pow(1 + monthlyRate, months) – 1) / monthlyRate * (1 + monthlyRate); var totalInvested = monthlyInvestment * months; var wealthGained = futureValue – totalInvested; document.getElementById("totalInvested").innerText = "$" + totalInvested.toLocaleString(undefined, {minimumFractionDigits: 0, maximumFractionDigits: 0}); document.getElementById("wealthGained").innerText = "$" + wealthGained.toLocaleString(undefined, {minimumFractionDigits: 0, maximumFractionDigits: 0}); document.getElementById("futureValue").innerText = "$" + futureValue.toLocaleString(undefined, {minimumFractionDigits: 0, maximumFractionDigits: 0}); document.getElementById("sipResults").style.display = "block"; }

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