Eyrie Calculators
Simple money tools. Free, private, no sign-up
Calculators / Monthly investing
SIP & Monthly Investment Calculator
See what a monthly investment can grow to, with step-up and inflation.
1. Your plan
2. What it grows to
You invest
$120K
Estimated gain
$166.3K
Final value
$286.3K
In today's money
$158.5K
after 3.0% inflation
- Your money 42%
- Growth 58%
- Final value
- Money you put in
Of $286.3K, 58% is growth. The longer you stay invested, the wider the gap between the two lines grows; that is compounding.
For education only, not investment advice. Calculated in your browser; nothing you enter is saved or sent anywhere. Real returns vary.
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How it works
How the projection works
Each month's instalment is added and the whole balance grows at the monthly equivalent of your expected yearly return. With step-up, the instalment rises by a fixed percentage every year, matching income growth.
Inflation-adjusted value
Money loses buying power over time. The inflation-adjusted figure shows what the final amount would be worth in today's money.
Worked examples
A steady monthly plan
Investing 500 a month for 20 years at 8% means you put in 120,000 and it could grow to about 286,330. After 3% inflation that is worth about 158,534 in today's money.
With a yearly step-up
Raise that 500 by 5% every year and you put in about 198,396 over 20 years, which could grow to about 418,727.
Tips for using it well
- Start early: time in the market matters more than the exact return you pick.
- Test a low, a medium and a high return; do not plan on the high one.
- Raise your monthly amount whenever your income rises, even by a little.
- Automate the investment so it happens before you can spend the money.
Frequently asked questions
What is a SIP?
A SIP (systematic investment plan) is a fixed amount invested at regular intervals, usually monthly. It is the same idea as dollar-cost averaging or a recurring investment.
Are returns guaranteed?
No. Market-linked returns vary. The calculator uses the steady rate you enter, which real markets never deliver exactly.
What is a step-up SIP?
A step-up plan increases your monthly amount by a set percentage each year, which can grow the final amount significantly.
What return should I assume?
Use a conservative figure and test a few rates. Many illustrations use 6 to 10 percent a year for stock funds, but actual results can be lower.
How much will 500 a month grow to?
At 8% for 20 years it could reach about 286,330 (see the example above). Change the sliders to match your own plan.
Is monthly investing better than a lump sum?
A lump sum has historically done better more often because money is invested sooner, but monthly investing reduces timing risk and fits a salary. Both beat waiting on the sidelines.
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