SIP of ₹5,000 per Month for 18 Years
Complete compounding breakdown for a Systematic Investment Plan (SIP) of ₹5,000 monthly over a 18-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% | ₹1,080,000 | +₹972,754 | ₹2,052,754 |
| Public Provident Fund (PPF) | 7.1% | ₹1,080,000 | +₹1,109,749 | ₹2,189,749 |
| Conservative Hybrid Funds | 8.0% | ₹1,080,000 | +₹1,336,434 | ₹2,416,434 |
| Large Cap / Nifty 50 Index | 10.0% | ₹1,080,000 | +₹1,947,840 | ₹3,027,840 |
| Diversified Equity (Flexi Cap / Multicap) | 12.0% | ₹1,080,000 | +₹2,747,196 | ₹3,827,196 |
| Mid Cap / Small Cap Funds | 15.0% | ₹1,080,000 | +₹4,441,277 | ₹5,521,277 |
Year-by-Year Wealth Accumulation Schedule (@ 12% CAGR)
| Timeline | Invested Principal | Growth / Gains | Total Corpus Value |
|---|---|---|---|
| Year 1 | ₹60,000 | +₹4,047 | ₹64,047 |
| Year 2 | ₹120,000 | +₹16,216 | ₹136,216 |
| Year 3 | ₹180,000 | +₹37,538 | ₹217,538 |
| Year 4 | ₹240,000 | +₹69,174 | ₹309,174 |
| Year 5 | ₹300,000 | +₹112,432 | ₹412,432 |
| Year 6 | ₹360,000 | +₹168,785 | ₹528,785 |
| Year 7 | ₹420,000 | +₹239,895 | ₹659,895 |
| Year 8 | ₹480,000 | +₹327,633 | ₹807,633 |
| Year 9 | ₹540,000 | +₹434,108 | ₹974,108 |
| Year 10 | ₹600,000 | +₹561,695 | ₹1,161,695 |
| Year 11 | ₹660,000 | +₹713,074 | ₹1,373,074 |
| Year 12 | ₹720,000 | +₹891,261 | ₹1,611,261 |
| Year 13 | ₹780,000 | +₹1,099,656 | ₹1,879,656 |
| Year 14 | ₹840,000 | +₹1,342,090 | ₹2,182,090 |
| Year 15 | ₹900,000 | +₹1,622,880 | ₹2,522,880 |
| Year 16 | ₹960,000 | +₹1,946,891 | ₹2,906,891 |
| Year 17 | ₹1,020,000 | +₹2,319,604 | ₹3,339,604 |
| Year 18 | ₹1,080,000 | +₹2,747,196 | ₹3,827,196 |
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 ₹5,000 invested monthly in SIP become after 18 years?
At a standard historical equity index return of 12% CAGR, a monthly SIP of ₹5,000 for 18 years generates a maturity corpus of approximately ₹3,827,196 against an invested principal of ₹1,080,000, earning a wealth gain of ₹2,747,196.
What is the tax on the returns of ₹5,000 SIP after 18 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 ₹327,775, leaving a net post-tax maturity value of ₹3,499,422.
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 ₹2,052,754. An equity SIP at 12% delivers ₹3,827,196, generating ₹1,774,443 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 18 years, the purchasing power of your ₹3,827,196 maturity corpus will be equivalent to approximately ₹1,340,834 in today's money.
Explore other durations: View All SIP Scenarios · All Financial Calculators · Mutual Funds Directory