Plan a SIP that grows with your salary — add an annual step-up, adjust the corpus for inflation, and watch the year-wise table update live.
How a step-up SIP works
A flat SIP invests the same amount every month. A step-up SIP (also called a top-up SIP) raises the instalment once a year — typically by the same 8–10% your salary grows. Because the increases arrive early and keep compounding, a modest step-up changes the end corpus dramatically.
Each month: corpus = (corpus + SIP) × (1 + r/12)
Every 12 months: SIP = SIP × (1 + step-up%)
This calculator compounds monthly at r/12 with month-end contributions and applies the step-up after every 12 instalments — the convention most fund houses use, so results should sit within 1–2% of any major SIP tool.
Why inflation-adjusting matters
Real value = corpus ÷ (1 + inflation)years
Most SIP calculators stop at the headline corpus. But at 6% inflation, ₹1 crore arriving 15 years from now buys only about ₹41,72,651 worth of goods in today's money. Switch the inflation toggle on to plan against the real figure — especially for goals priced in today's rupees, like a child's education.
Worked example: ₹10,000, 12%, 15 years, 10% step-up
Start at ₹10,000 a month and raise it 10% every year. Over 15 years you invest ₹38,12,698 in total, and at an assumed 12% annual return the corpus grows to ₹86,83,849 (₹86.84 lakh). The same ₹10,000 kept flat reaches only ₹50,45,760 on ₹18,00,000 invested. Adjusted for 6% inflation, the step-up corpus is worth about ₹36,23,467 in today's money.
Step-up vs flat SIP — the gap over time
| Years | Flat invested | Flat corpus | Step-up invested | Step-up corpus |
|---|
| 5 | ₹6,00,000 | ₹8,24,864 | ₹7,32,612 | ₹9,84,570 |
| 10 | ₹12,00,000 | ₹23,23,391 | ₹19,12,491 | ₹33,74,326 |
| 15 | ₹18,00,000 | ₹50,45,760 | ₹38,12,698 | ₹86,83,849 |
| 20 | ₹24,00,000 | ₹99,91,479 | ₹68,73,000 | ₹1,98,88,715 |
₹10,000 starting SIP, assumed 12% p.a. return, 10% annual step-up. Returns are assumptions for illustration — actual mutual fund returns vary.
Frequently Asked Questions
What is a step-up SIP calculator with inflation?
A normal SIP calculator assumes you invest the same amount every month for the whole period. A step-up SIP calculator increases your monthly SIP once a year (10% is common — it tracks salary increments), and the inflation toggle converts the final corpus into today's purchasing power, so you see what the money will actually be worth.
Why does inflation-adjusting the corpus matter?
Because a big number 15–20 years away buys far less than it would today. At 6% inflation, ₹1 crore received 15 years from now is worth about ₹41,72,651 in today's money. Planning against the inflation-adjusted figure keeps your goal honest.
Step-up SIP vs flat SIP — how big is the difference?
Large. ₹10,000 a month at an assumed 12% for 15 years grows to about ₹50,45,760 flat, but about ₹86,83,849 with a 10% annual step-up. You do invest more (₹38,12,698 vs ₹18,00,000), and every extra rupee gets years of compounding. The comparison table on this page shows the gap at 5, 10, 15 and 20 years.
Why do results differ between SIP calculators (Groww, ET Money, this one)?
Mostly timing conventions, not errors. Calculators differ on whether the instalment compounds from the start or end of the month, how the annual rate is converted to a monthly rate, and whether the step-up is applied monthly or yearly. This tool compounds at r/12 with month-end contributions and steps up the SIP once every 12 months — the most common convention. Differences are usually within 1–2%.
Does this SIP calculator show a year-wise table?
Yes — the table under the result updates live and shows cumulative investment and corpus value at the end of every year (up to 30 rows), so you can see when compounding starts outpacing your own contributions.
What is XIRR, and why is my actual SIP return different?
XIRR is the money-weighted annual return across all your actual instalment dates — it is what your mutual fund statement reports. A calculator assumes one constant return every month; real markets do not move in a straight line, so your statement XIRR will differ from whatever assumption you enter here.
What will a ₹10,000 monthly SIP become in 20 years?
At an assumed 12% annual return: about ₹99,91,479 with a flat SIP, or about ₹1,98,88,715 with a 10% yearly step-up (total invested ₹68,73,000). Returns are assumptions, not guarantees — equity SIP outcomes vary with the market.
Estimates are for information and education only — not financial, tax or investment advice. Verify current rates and rules with official sources.