LIC SIP Calculator

₹ 4,000
₹500₹1 Lakh
11.5%
1%30%
12 Years
1 Year40 Years
₹ 5,00,000
₹10,000₹1 Crore
12.0%
1%30%
10 Years
1 Year40 Years
Invested
Est. Returns
Invested amount ₹ 0
Est. returns ₹ 0
Total value ₹ 0

About the LIC SIP Calculator

LIC Mutual Fund (LIC MF) is a separate entity from Life Insurance Corporation of India, and it manages mutual fund schemes that accept monthly SIPs. This LIC SIP calculator estimates returns from SIPs in LIC mutual fund schemes, not insurance premium plans, which is a common point of confusion.

What is a SIP Calculator?

A SIP calculator is a planning tool that shows the estimated maturity value of a Systematic Investment Plan, where you invest a fixed amount every month into a mutual fund scheme. Because each installment compounds for a different length of time, manual calculation gets tedious, so the calculator applies the compounding formula for every month instantly.

Keep in mind that the tool gives an estimate. Actual returns depend on market performance, the expense ratio, and exit loads of the scheme, none of which the calculator models.

How Does the LIC SIP Calculator Work?

The calculator uses the standard SIP maturity formula:

M = P x ({[1 + i]^n - 1} / i) x (1 + i)

  • M is the maturity amount you receive.
  • P is the monthly investment.
  • i is the monthly rate of return, taken as the annual rate divided by 12.
  • n is the total number of monthly installments.

Example

Suppose you invest Rs. 4,000 every month for 12 years at an expected return of 11.5% per year. The calculator works out a maturity value of about Rs. 12,42,628, of which Rs. 5,76,000 is your own contribution and the rest is estimated returns.

Projected growth at Rs. 4,000 per month and 11.5% expected return

TenureTotal InvestedEstimated Value
5 yearsRs. 2,40,000Rs. 3,25,429
10 yearsRs. 4,80,000Rs. 9,02,177
15 yearsRs. 7,20,000Rs. 19,24,331
20 yearsRs. 9,60,000Rs. 37,35,866

How to Use the LIC SIP Calculator

  1. Enter your monthly investment amount.
  2. Set the number of years you plan to stay invested.
  3. Enter the expected annual return rate, for example 12% for an equity scheme.
  4. Click Calculate to see the invested amount, estimated returns, maturity value, and growth chart.

Benefits of Using the LIC SIP Calculator

  • Plan your mutual fund goal around a fixed monthly budget.
  • Compare tenures and return assumptions in seconds.
  • Understand how compounding grows small monthly amounts into large sums.
  • Free to use, with no sign up or personal details required.

Frequently Asked Questions

Is a LIC SIP the same as paying an LIC insurance premium?

No. A LIC SIP invests in LIC Mutual Fund schemes managed by LIC MF, a separate asset management company. Insurance premiums buy life cover, while SIPs buy mutual fund units whose value moves with markets.

What return rate should I enter in the LIC SIP Calculator?

For diversified equity schemes, planners commonly use 10% to 12% a year based on long term historical averages. For debt and hybrid schemes, a lower rate between 6% and 9% is more realistic. Testing several rates shows a useful range of outcomes.

Are the results guaranteed?

No. Mutual fund SIPs are market linked and returns fluctuate with market conditions. The calculator projects a maturity value using a constant assumed rate, while actual results can be higher or lower.

Are SIP returns in LIC Mutual Fund schemes taxed?

For equity schemes, units held over 12 months attract long term capital gains tax of 12.5% beyond the Rs. 1.25 lakh annual exemption, and short term gains are taxed at 20%. Debt scheme gains are added to your income and taxed at slab rates.

Disclaimer: The LIC SIP Calculator provides estimates for educational purposes only and is not investment advice. Actual returns, rates, and charges depend on the product provider and market conditions. Verify details on the official website and consult a financial advisor before investing.

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