SIP of ₹500 per Month for 9 Years
Complete compounding breakdown for a Systematic Investment Plan (SIP) of ₹500 monthly over a 9-year investment horizon.
Returns Across Different Asset Classes
| Asset Class / Style | Expected CAGR | Total Invested | Estimated Returns | Maturity Corpus |
|---|---|---|---|---|
| Bank Recurring Deposit (RD) | 6.5% | ₹54,000 | +₹19,518 | ₹73,518 |
| Public Provident Fund (PPF) | 7.1% | ₹54,000 | +₹21,743 | ₹75,743 |
| Conservative Hybrid Funds | 8.0% | ₹54,000 | +₹25,240 | ₹79,240 |
| Large Cap / Nifty 50 Index | 10.0% | ₹54,000 | +₹33,752 | ₹87,752 |
| Diversified Equity (Flexi Cap / Multicap) | 12.0% | ₹54,000 | +₹43,411 | ₹97,411 |
| Mid Cap / Small Cap Funds | 15.0% | ₹54,000 | +₹60,424 | ₹114,424 |
Year-by-Year Wealth Accumulation Schedule (@ 12% CAGR)
| Timeline | Invested Principal | Growth / Gains | Total Corpus Value |
|---|---|---|---|
| Year 1 | ₹6,000 | +₹405 | ₹6,405 |
| Year 2 | ₹12,000 | +₹1,622 | ₹13,622 |
| Year 3 | ₹18,000 | +₹3,754 | ₹21,754 |
| Year 4 | ₹24,000 | +₹6,917 | ₹30,917 |
| Year 5 | ₹30,000 | +₹11,243 | ₹41,243 |
| Year 6 | ₹36,000 | +₹16,879 | ₹52,879 |
| Year 7 | ₹42,000 | +₹23,990 | ₹65,990 |
| Year 8 | ₹48,000 | +₹32,763 | ₹80,763 |
| Year 9 | ₹54,000 | +₹43,411 | ₹97,411 |
Invest in 0% Commission Direct Mutual Funds
Start a monthly SIP on Zerodha Coin or Groww with zero distributor commissions.
Frequently Asked Questions
How much will ₹500 invested monthly in SIP become after 9 years?
At a standard historical equity index return of 12% CAGR, a monthly SIP of ₹500 for 9 years generates a maturity corpus of approximately ₹97,411 against an invested principal of ₹54,000, earning a wealth gain of ₹43,411.
What is the tax on the returns of ₹500 SIP after 9 years?
Under Section 112A (revised post-Budget 2024), Long Term Capital Gains (LTCG) from equity mutual funds held for more than 12 months are tax-exempt up to ₹1.25 Lakh per financial year. Profits exceeding ₹1.25 Lakh are taxed at flat 12.5%. For this scenario, estimated tax is ₹0, leaving a net post-tax maturity value of ₹97,411.
How does an equity SIP compare to a Bank Recurring Deposit (RD)?
In a Bank RD at 6.5% interest, your total corpus would be ₹73,518. An equity SIP at 12% delivers ₹97,411, generating ₹23,892 in extra wealth due to compounding power.
What will be the real purchasing power of the corpus after inflation?
Assuming an average inflation rate of 6% over 9 years, the purchasing power of your ₹97,411 maturity corpus will be equivalent to approximately ₹57,657 in today's money.
Explore other durations: View All SIP Scenarios · All Financial Calculators · Mutual Funds Directory