Lumpsum calculator

It means investing the full amount in one go instead of in instalments, for example putting ₹1,00,000 into a fund on a single day.

The amount is multiplied by (1 + yearly return) for each year. For 3 years at 10%, ₹1,00,000 becomes ₹1,00,000 × 1.10 × 1.10 × 1.10 = ₹1,33,100.

Neither is better in every case. A lumpsum works best if the market rises after you invest, a SIP smooths the price you pay over time. The right choice depends on when you have the money and how much risk you can take.

No. The result is before tax. If you assume a return, make it a return after fund expenses, because a fund’s published returns are already after its expense ratio.

At an assumed 12% a year, ₹1,00,000 grows to about ₹3,10,585 in 10 years, ₹5,47,357 in 15 years and ₹9,64,629 in 20 years. At 8% the figures are about ₹2,15,892, ₹3,17,217 and ₹4,66,096.

Divide the target by (1 + yearly return) for each year. To have ₹1,00,00,000 in 15 years at an assumed 12% a year you need about ₹18,26,963 today; at 8% you need about ₹31,52,417.

For equity funds, a gain on units held for more than 12 months is long-term; sold earlier, it is short-term and taxed at a higher rate. The guide to mutual fund taxation on this site has the details.