Mutual Fund Compare

Step-up SIP calculator

Written and reviewed by Omm · Last reviewed · General information, not investment advice

A step-up SIP raises your monthly instalment by a fixed percentage every year, for example when your income grows. Enter the starting amount and the yearly increase to see the effect.

Between 500 and 1000000

%

Between 0 and 50

%

Between 1 and 30

years

Between 1 and 40

Invested amount

₹19,12,491

Estimated returns

₹14,61,835

Total value

₹33,74,326

Year 1Year 10
ValueInvested
Year-by-year breakdown
YearInvestedValue
1₹1,20,000₹1,28,093
2₹2,52,000₹2,85,241
3₹3,97,200₹4,76,410
4₹5,56,920₹7,07,323
5₹7,32,612₹9,84,570
6₹9,25,873₹13,15,734
7₹11,38,461₹17,09,527
8₹13,72,307₹21,75,956
9₹16,29,537₹27,26,501
10₹19,12,491₹33,74,326

How it works

Year y instalment = P × (1 + step-up)^(y − 1); value is built month by month: balance = (balance + instalment) × (1 + i), i = yearly return ÷ 12

The calculator runs month by month. In each year the instalment is the starting amount multiplied by (1 + step-up) once for every completed year. Every instalment is invested at the start of its month and grows at the yearly return divided by 12, compounded monthly.

Even a small yearly step-up raises the total invested noticeably over a long period, which is why the final value is higher than for a flat SIP with the same starting amount.

The expected return is an assumption, not a promise. Equity mutual fund returns change from year to year and can be negative; use the screener to see what specific funds have actually delivered.

Example. Starting at ₹10,000 a month and raising it 10% every year for 10 years at an assumed 12% puts in ₹19,12,491 and grows to about ₹33,74,326. A flat SIP of the same starting amount would give about ₹23,23,391.

Read the guide: What is a SIP? How a systematic investment plan works.

Frequently asked questions

What is a step-up SIP?

It is a SIP whose monthly amount increases by a set percentage or amount at fixed intervals, usually once a year. Many fund houses and platforms offer it as a built-in option.

How much should I step up each year?

It depends on how much your income and budget can grow. Many people choose a step-up in line with their expected pay rise. Try a few values in the calculator to see the effect.

Does the step-up apply every month or every year?

Every year. The instalment stays the same for 12 months and then rises by the step-up percentage.

Are the results guaranteed?

No. They assume the same return every month. Actual mutual fund returns vary and carry market risk.

How much more does a 10% yearly step-up give?

A lot over long periods. At an assumed 12% a year for 20 years, a flat SIP of ₹10,000 grows to about ₹99,91,479, while the same SIP raised by 10% every year grows to about ₹1,98,88,715. You also invest more: ₹68,73,000 instead of ₹24,00,000.

Is a step-up SIP the same as a top-up SIP?

Yes. Fund houses use both names for a SIP whose instalment rises at a set interval, by a percentage or by a fixed amount.

Sources

Rules, rates and definitions on this page come from these official sources. Check the current position there before you decide.

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