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Step-Up SIP Calculator

Calculate the corpus your monthly SIP will build when you increase it by a fixed percentage every year — matching how your salary actually grows. Step-up SIP can 2-3x your final corpus over 20 years versus a flat SIP, without you needing to remember to manually raise your contribution.

Why step up?Your salary grows ~8-12% a year in tier-1 India. If your SIP doesn't grow with it, your savings rate falls every year. Step-up SIP fixes this automatically.
Available on direct appsZerodha Coin, Groww, Paytm Money, Kuvera, ET Money — all support automated annual step-up on SIPs.
No extra costStep-up SIP does not change expense ratio, exit load, or tax treatment. It's a scheduling feature only.
Without step-up
Rs 99,91,500
With step-up
Rs 1,94,84,200
+95% boost from step-up SIP
Total invested (with step-up)Rs 68,73,000
Wealth gainedRs 1,26,11,200
Final monthly SIP (year 20)Rs 61,159
Money multiplier2.8x

Year-wise contribution & corpus growth

How your monthly SIP increases each year, the annual contribution that creates, and the running corpus at the end of each year.

YearMonthly SIPThis year's contributionTotal investedCorpus (end of year)

Where to start a step-up SIP

Direct mutual fund apps charge zero commission, saving you 1-1.5% annually. Over 20 years that 1% gap eats 15-25% of your corpus — bigger than the step-up benefit itself.

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Frequently asked questions

What is a step-up SIP?

A step-up SIP (also called top-up SIP) increases your monthly investment by a fixed percentage every year — usually 5-15% — to match your annual salary growth. It compounds your wealth much faster than a flat SIP because each year you contribute more capital that itself compounds over remaining years.

How much can a 10% annual step-up grow my corpus?

At 12% annual returns over 20 years, a Rs 10,000 monthly SIP grows to about Rs 99 lakh as a flat SIP, but to about Rs 1.95 crore with a 10% annual step-up — nearly double, for the same starting commitment. Try the slider above to see your own numbers.

Is step-up SIP better than regular SIP?

For salaried Indians, yes — step-up SIP matches your investing capacity to your salary growth. A 10% step-up roughly tracks typical annual increments in tier-1 Indian jobs (IT, finance, consulting). The result is a much larger final corpus without you having to remember to manually increase your SIP each year.

How do I activate step-up SIP in my mutual fund?

Most direct mutual fund apps — Zerodha Coin, Groww, Paytm Money, Kuvera, ET Money — offer a step-up toggle when you create an SIP. You set the base amount, the step-up percentage, and the step-up frequency (usually annual). The app handles the increment automatically on your chosen day each year. No paperwork.

What step-up percentage should I choose?

Match your expected annual salary growth. Conservative (5-7%): matches inflation, safer if your income is variable. Standard (10%): matches typical Indian salary increments. Aggressive (15-20%): only if you have high income visibility and strong promotion track. Going higher than your actual salary growth means a rising savings rate over time — good in theory, harder in practice.

Can I pause or modify step-up SIP?

Yes. You can pause your SIP anytime (1-6 months on most direct platforms), modify the step-up percentage, or convert to a flat SIP. There is no exit load or penalty on changing SIP parameters — only the standard mutual fund exit load applies on actual redemptions.

How is step-up SIP corpus calculated?

For each year y from 1 to n: monthly SIP = base × (1 + step-up)^(y-1). For each month within that year, corpus is updated as corpus = (corpus + monthly SIP) × (1 + monthly rate), where monthly rate = annual rate / 12. The calculator iterates month-by-month for accuracy rather than using the closed-form approximation, so the numbers match what mutual fund apps actually show.

How are step-up SIP returns taxed in India?

Step-up SIP is taxed identically to regular SIP. Equity mutual funds: 12.5% LTCG tax on gains above Rs 1.25 lakh per year (after 1-year holding). Debt funds: taxed at slab rate from FY24 onwards. ELSS step-up SIP: 3-year lock-in applies to each instalment separately, including the stepped-up portions.

Last reviewed: May 2026 · Editorial process · Methodology