Compare SIPs Answers | Toolance

A SIP is a fixed mutual-fund investment on a schedule, most often monthly, and an SWP is a scheduled withdrawal. The growth formula is compound interest, which is the same idea as dollar-cost averaging. The result is not a prediction of US, UK, EU or Indian fund returns, and it leaves out fees and tax.

A worked check

Investing 5,000 every month for 10 years at a 10% yearly assumption grows to about 1,032,760 if each deposit compounds monthly. You put in 600,000. The rest is growth on the assumption you typed, not a promised return. Fees, tax and a lower return reduce that figure.

01. Why compare two SIP amounts or tenures?

Small changes in monthly investment or start date change the final corpus a lot over 15 to 20 years. Side-by-side view helps you pick a realistic monthly commitment.

Open the Compare SIPs and change one number. You can see which result moves. The country menu changes the currency symbol. The formula stays the same.

02. Can I compare different expected returns?

Yes. Run conservative and optimistic rates in SIP A and SIP B. You will see how sensitive your goal is to return assumptions.

Open the Compare SIPs and change one number. You can see which result moves. The country menu changes the currency symbol. The formula stays the same.

03. Should I compare direct and regular plan SIP here?

You can model different return assumptions after expenses. Direct plans have lower expense ratio, which slightly boosts long-term corpus.

Open the Compare SIPs and change one number. You can see which result moves. The country menu changes the currency symbol. The formula stays the same.

04. Does this include SIP step-up?

This compares fixed monthly SIPs unless you manually adjust inputs. For annual step-up, change the monthly figure to an average or use a step-up specific tool.

Open the Compare SIPs and change one number. You can see which result moves. The country menu changes the currency symbol. The formula stays the same.

05. Can I compare SIP in equity vs debt fund?

Use different return assumptions reflecting risk. Debt SIPs grow slower with lower volatility. Match the comparison to your goal timeline.

Open the Compare SIPs and change one number. You can see which result moves. The country menu changes the currency symbol. The formula stays the same.

06. How do taxes affect SIP comparison?

This shows pre-tax projected corpus. Equity and debt taxation on redemption differs. Net in-hand may be lower than displayed.

Open the Compare SIPs and change one number. You can see which result moves. The country menu changes the currency symbol. The formula stays the same.

07. Is SIP comparison a recommendation to invest?

No. Illustrative math only. Choose schemes after reading offer documents and discussing risk with an adviser.

Open the Compare SIPs and change one number. You can see which result moves. The country menu changes the currency symbol. The formula stays the same.

08. Is comparing SIPs free on this page?

Yes. No login or subscription. Plug in two scenarios and see results immediately.

Open the Compare SIPs and change one number. You can see which result moves. The country menu changes the currency symbol. The formula stays the same.

Keep going

These pages explain the arithmetic. They are not a loan approval, tax filing, insurance quote or investment recommendation.