Monthly SIP returns
₹20,000 SIP for 5 Years — Maturity Value and Returns
Investing ₹20,000 every month for 5 years builds a corpus of roughly ₹16.50 lakh if the fund averages 12% a year. You will have paid in ₹12.00 lakh of your own money, so about ₹4.50 lakh of the final corpus is pure return.
Maturity value at 12%
₹16.50 lakh
₹12.00 lakh invested + ₹4.50 lakh growth over 5 years
Total invested
₹12.00 lakh
Wealth gained
₹4.50 lakh
At 10% return
₹15.62 lakh
At 15% return
₹17.94 lakh
Worth in today money
₹12.33 lakh
With 10% yearly step-up
₹19.69 lakh
Want to change the numbers?
Open the full SIP calculator and run your own amount, rate and tenure.
Year-by-year growth of a ₹20,000 monthly SIP at 12%
| Year | Invested | Value | Gain | Gain % |
|---|---|---|---|---|
| 1 | ₹2,40,000 | ₹2,56,187 | ₹16,187 | 6.7% |
| 2 | ₹4,80,000 | ₹5,44,864 | ₹64,864 | 13.5% |
| 3 | ₹7,20,000 | ₹8,70,153 | ₹1,50,153 | 20.9% |
| 4 | ₹9,60,000 | ₹12,36,697 | ₹2,76,697 | 28.8% |
| 5 | ₹12,00,000 | ₹16,49,727 | ₹4,49,727 | 37.5% |
Same SIP at different return rates
| Annual return | Corpus after 5 years | Gain over invested |
|---|---|---|
| 8% | ₹14,79,334 | ₹2,79,334 |
| 10% | ₹15,61,648 | ₹3,61,648 |
| 12% | ₹16,49,727 | ₹4,49,727 |
| 14% | ₹17,44,015 | ₹5,44,015 |
| 15% | ₹17,93,634 | ₹5,93,634 |
What ₹16.50 lakh is actually worth in 2031
Nominal numbers flatter long horizons. At 6% average inflation, the ₹16.50 lakh you receive after 5 years has the purchasing power of about ₹12.33 lakh in today's money. That is still comfortably ahead of the ₹12.00 lakh you put in, but it is the figure you should plan a real-world goal around.
This is the single biggest reason a ₹20,000 SIP that looks adequate on paper can fall short of an actual goal 5 years out. Always check the inflation-adjusted column before deciding the amount is enough.
Why a step-up beats a flat ₹20,000
Keeping the SIP frozen at ₹20,000 for 5 years assumes your income never rises. Increasing it by just 10% a year — roughly a normal appraisal — takes the same plan to about ₹19.69 lakh, which is 19.4% more without ever feeling like a bigger sacrifice.
Most fund houses let you set this up once as a "step-up SIP" or "top-up SIP" mandate so it happens automatically every April.
Equity SIP versus the same money in a deposit
Putting ₹20,000 a month into a 7% recurring deposit for the same 5 years would end at roughly ₹14.40 lakh — before tax. Deposit interest is taxed at your slab rate, so a 30%-bracket saver keeps closer to ₹13.62 lakh.
Equity returns are not guaranteed and a 5-year window can contain long flat stretches. The trade-off is the point: you accept volatility in exchange for an expected ₹2.10 lakh of extra corpus.
Frequently asked questions
Short, specific answers — no sign-up, no sales pitch.
How much will I get if I invest ₹20,000 per month for 5 years?
At a 12% annual return you would accumulate about ₹16.50 lakh — ₹12.00 lakh of contributions plus ₹4.50 lakh of growth. At a more conservative 10% it is ₹15.62 lakh, and at 15% it is ₹17.94 lakh.
Is ₹20,000 a month enough for 5 years?
It depends on the goal, not the amount. ₹16.50 lakh nominal is roughly ₹12.33 lakh in today's purchasing power after 5 years of 6% inflation. Compare that against what your goal actually costs today and increase the SIP if there is a gap.
What return rate should I assume for a 5-year SIP?
For diversified equity funds, 12% is the conventional planning assumption and 10% is the conservative one. Indian equity indices have delivered roughly 11-13% over long rolling periods, but no rate is guaranteed. Plan with 10-12% and treat anything above as a bonus.
Will I pay tax on this ₹20,000 SIP?
Equity mutual fund gains held over a year are long-term capital gains, taxed at 12.5% above the ₹1.25 lakh annual exemption. Because SIP units are bought monthly, each instalment has its own holding period, so redeem oldest-first to stay long-term.
Can I stop or pause a SIP midway?
Yes. SIPs have no lock-in except in ELSS funds, which lock each instalment for three years. You can pause, reduce or stop at any time without penalty, and existing units keep compounding.
Related calculations
₹500 SIP for 5 years
Maturity value at 12%: ₹41,243
₹500 SIP for 10 years
Maturity value at 12%: ₹1.16 lakh
₹500 SIP for 15 years
Maturity value at 12%: ₹2.52 lakh
₹500 SIP for 20 years
Maturity value at 12%: ₹5.00 lakh
₹500 SIP for 25 years
Maturity value at 12%: ₹9.49 lakh
₹1,000 SIP for 5 years
Maturity value at 12%: ₹82,486
Full interactive calculators
SIP Calculator
Monthly investment growth with inflation adjustment.
Goal SIP Planner
Work backwards from a target corpus.
EMI Calculator
Loan instalments with prepayment savings.
Income Tax Calculator
New vs old regime for FY 2026-27.
8th Pay Commission Calculator
Projected salary at any fitment factor.
All calculations
Browse every ready-made answer page.
Figures are mathematical projections based on the stated assumptions. Market-linked returns are not guaranteed. This is educational information, not investment advice.