SIP of Rs 1,000 monthly can lead to significant gains; here's how much you can save in 10, 20 and 30 years (2024)

FAQs

How much is 1000 rs monthly SIP for 20 years? ›

If you invest Rs 1000 for 20 years , if we assume 12 % return , you would get Approx Rs 9.2 lakhs. Invested amount Rs 2.4 Lakh. Hope that helps.

If you were to invest Rs 1,000 per month into an equity SIP over a span of 30 years at 12 per cent per annum, you would have invested only Rs 3.6 lakhs. However, your portfolio's value would have grown to an impressive Rs 34.9 lakhs.

Investing $1,000 a month for 20 years would leave you with around $687,306. The specific amount you end up with depends on your returns -- the S&P 500 has averaged 10% returns over the last 50 years. The more you invest (and the earlier), the more you can take advantage of compound growth.

After 10 years, it could grow to ₹33.74 lakhs. In 20 years, it might reach ₹1.98 crores. In 30 years, it could soar to ₹8.8 crores. This works for any SIP amount!

For instance, more conservative investor aiming for 9% yearly return may need to set aside approximately ₹1.5 lakhs every month to reach ₹10 crore target in 20 years. On other hand, more aggressive investor targeting 12% annual return may require monthly SIP of around ₹1 lakh.

If someone begins a SIP of 5000 per month for a span of 20 years, at 12% assumed annualized rate of return per annum, your total investment in 20 years is Rs. 12 lakh and the accumulated corpus at the end of tenure is close to Rs. 50 lakhs.

Is SIP tax-free? SIPs themselves are not tax-free, but they can be a powerful tax-saving tool. Here is why: SIPs are a way to invest in certain mutual funds, like Equity Linked Saving Schemes (ELSS).

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In fact, at the end of the five years, if you invest $1,000 per month you would have $83,156.62 in your investment account, according to the SIP calculator (assuming a yearly rate of return of 11.97% and quarterly compounding).

What if I invested $1000 in S&P 500 10 years ago? ›

Over the past decade, you would have done even better, as the S&P 500 posted an average annual return of a whopping 12.68%. Here's how much your account balance would be now if you were invested over the past 10 years: $1,000 would grow to $3,300. $5,000 would grow to $16,498.

How much is Rs. 5,000 for 5 years in SIP? If you invest Rs. 5,000 per month through SIP for 5 years, assuming 12% return. The estimate total returns will be Rs. 1,12,432 and the estimate future value of your investment will be Rs. 4,12,431.

Consider investing Rs 15,000 per month for 15 years and earning 15% returns. After 15 years, the total wealth will be Rs 1,00,27,601 (Rs. 1 crore). According to the compounding principle, if we implement these very same returns and contributions for another 15 years, the amount we accumulate grows enormously.

(You must convert the rate of return to the monthly figure through dividing by 12). You also have n = 10 years or 120 months. FV = Rs 1,84,170. So, the future value of a SIP investment of Rs 1,000 per month for 10 years at an estimated rate of return of 8% is Rs 1,84,170.

If you are investing for 20 years, there is a high chance of getting a 15% return. If you start with an SIP of Rs. 1500 and increase it by Rs. 500 every year, assuming a 15% p.a. return for 20 years, you will accumulate Rs.

At the end of the 20th year of your investment, your corpus will reach around Rs 1 crore. If you continue this investment for another 10 years, or a total of 30 years, your wealth will grow much faster.

If someone begins a SIP of 5000 per month for a span of 20 years, at 12% assumed annualized rate of return per annum, your total investment in 20 years is Rs. 12 lakh and the accumulated corpus at the end of tenure is close to Rs. 50 lakhs.