SIP vs Lumpsum Calculator - Investment Return Compare

The SIP vs lumpsum calculator projects two Indian-style investment paths on the same expected return and then adds them: a systematic investment plan (monthly SIP) and a one-time lumpsum. Many households do both—invest a bonus as lumpsum and keep a monthly SIP from salary—so the displayed result is combined future value, not a winner-take-all comparison. Zero out the SIP or the lumpsum to see either path alone. Monthly rate r is the expected annual return divided by 12. SIP future value is PMT × ((1+r)^n − 1)/r with n = SIP years × 12, using an ordinary (end-of-month) annuity. Lumpsum future value is PV × (1+r)^m with m = lumpsum years × 12. The two horizons can differ, which is useful if the lumpsum has already been invested for years while the SIP is just starting. If r is zero, the SIP piece is simply monthly amount times months. Indian SIP illustrations sometimes use an annuity-due factor (1+r)×((1+r)^n − 1)/r, which assumes the installment invests at the beginning of the month. This page does not apply that extra (1+r). The gap is small at short tenures and larger over decades. Returns are assumed constant and monthly; real equity SIPs jump around, and rupee-cost averaging can beat or lag a lumpsum depending on the path, not the average. Expense ratios, exit loads, taxes on capital gains, and inflation are omitted. A 12% illustration is not a promise from any mutual fund. If cash is already sitting idle, a lumpsum deploys it immediately; if cash arrives each month, a SIP matches the paycheck. Use the SIP vs lumpsum calculator to size a goal, not to pick a scheme. The figure is an educational projection, not investment advice, and it cannot replace scheme documents or a registered adviser’s recommendation. Keep SIP and lumpsum in the same currency as the goal you are funding.