Step Up SIP Calculator

Invested Amount: ₹0

Estimated Returns: ₹0

Total Value: ₹0

A Step Up SIP is a smart way to save money. It lets you add a little more to your savings regularly, usually every year. This is great if you expect to earn more money as time goes by. It’s like giving your savings a regular boost. Over time, this can lead to much more money saved because of the way interest works. It’s a simple and organized way to make your money grow with your income.

What is a Step Up SIP Calculator?

A Step Up SIP Calculator is an innovative financial tool that helps investors calculate the future value of their investments made through a Systematic Investment Plan (SIP) with an annual increase in the investment amount.

Unlike a standard SIP calculator, this variant factors in the incremental increase in investment, allowing individuals to align their investment growth with their increasing income, thereby optimizing the compounding benefits over the long term.

How to Use Fincareplan’s Step Up SIP Calculator?

Using the Fincareplan Step Up SIP Calculator is straightforward and user-friendly. Begin by entering your initial monthly investment amount, anywhere between ₹500 and ₹100,000. Next, decide on the percentage by which you wish to increase this investment annually (1% – 50%).

After that, input the expected rate of return on your investment (1% – 30%) and the duration of your investment in years (1 – 40 years). Once all inputs are in place, click the “Calculate” button to see the magic unfold – the calculator will display your total invested amount, estimated returns, and the total value of your investment at the end of the chosen period.

How to Calculate Step Up SIP?

Calculating your Step Up SIP involves understanding the compounding power of your investments over time, coupled with the incremental increase in your investment amount. The calculation takes into account your monthly investment, the rate of return, and the time period of investment. With each passing year, your monthly investment increases by the chosen step-up percentage, enhancing the growth potential of your portfolio.

Formula for Step Up SIP

The mathematical formula to Calculate Step Up SIP is

Total Value = Σ [Pi * (1 + r)^(n-i)] from i = 1 to n


  • Pi = P for i ≤ 12
  • Pi = P * (1 + s)^[(i-1)/12] for i > 12


  • P: Initial Monthly Investment
  • r: Monthly Rate of Return (Annual Rate of Return divided by 12)
  • n: Total number of months (Investment Period in years multiplied by 12)
  • s: Step-up rate (annual increase in investment)
  • i: Current month

In this formula:

  • Pi represents the investment amount for the ith month.
  • For the first 12 months (1st year), the monthly investment amount remains P.
  • From the 13th month onwards, the monthly investment amount increases annually by the step-up rate s.
  • The term [(i-1)/12] calculates how many complete years have passed until month i, determining the number of times the investment amount has been stepped up.
  • The term (1 + r)^(n-i) applies the compounding effect for each monthly investment, considering the remaining investment duration.

The complexity of the formula makes it challenging to calculate manually, which is why the Fincareplan Step Up SIP Calculator has become an indispensable tool for investors.

Benefits of Using Step Up SIP Calculator

  1. Visualization of Investment Growth: See a clear projection of how your investments will grow over time.
  2. Alignment with Income Growth: Adjust your investment incrementally, in line with the growth in your income.
  3. Financial Discipline: Promotes the habit of regular and disciplined investing, with an added advantage of stepping up.
  4. Ease of Planning: Simplify complex calculations and plan your financial future effortlessly.
  5. Informed Decision-Making: Understand the impact of various factors like investment duration, rate of return, and step-up percentage on your investments.


What is the minimum and maximum investment amount for a Step Up SIP?

The minimum investment amount is ₹500 and the maximum is ₹100,000.

Can I change the step-up percentage after starting the SIP?

While the calculator provides an estimate based on a fixed step-up percentage, actual investments may allow changes as per the terms of the investment plan.

How does the Step Up SIP Calculator accommodate the compounding effect?

The calculator factors in the compounding effect by reinvesting the returns at the expected rate for the duration of the investment.

Is the Step Up SIP Calculator suitable for long-term investment planning?

Absolutely, the calculator is especially beneficial for long-term planning, allowing investors to visualize the growth of their investments over an extended period.

Are the results from the Step Up SIP Calculator guaranteed?

The results are estimates based on the inputs provided. Actual returns can vary depending on market conditions and the specific investment product chosen.