ELSS Calculator

Calculate your Mutual Fund SIP returns.

Amount of Investment


Frequency of SIP

Expected Rate of Return P.A

0 %

Duration of Investment

0 yr
30 yrs

What is an ELSS?

An equity-linked savings scheme (ELSS) is an open-ended equity mutual fund offering tax benefits up to ₹1,50,000, under Section 80C of the Income Tax Act, 1961. By investing in ELSS, you can save some amount every year in taxes and promote the habit of long-term investment and saving. These funds invest the majority of their assets in diversified equity and equity-related instruments across various sectors. In addition to equity and debt securities, ELSS funds also invest in fixed-income securities. Thus, investors can gain exposure to a diversified portfolio by investing in ELSS. These funds have a short lock-in period, which allows you to withdraw your funds at an earlier time, if any pressing financial goals arise. ELSS funds invest largely in the stock market, so they can potentially earn higher yields than other traditional tax-saving options. However, like all stock market investments, returns are not guaranteed and are subject to market risks.

Frequently Asked Questions

What is an ELSS calculator?

The ELSS calculator helps investors determine the potential returns from a potential investment in an ELSS fund based on the type of investment, i.e. SIP or lump sum.

The ELSS calculator needs the following details to calculate the returns:

● Investment type
● Investment value
● Duration of investment (more than or equal to 3 years)
● Rate of return (per annum)

Once you enter the above-mentioned details, the Upstox ELSS calculator will display the value of your investment at the end of the investment tenure. The Upstox ELSS calculator can help you estimate the additional amount to be invested if you wish to reach your goals sooner. It can also be used to calculate SIP returns.

What are the benefits of investing in ELSS?

Investing in an ELSS fund offers two benefits: capital appreciation and tax savings of up to ₹1,50,000 under Section 80C of the Income Tax Act.

What is the lock-in period of ELSS?

The lock-in period for ELSS funds is three years. Investors can withdraw their money any time after the three-year period has elapsed. They also have the option of continuing to invest in the fund.

What are the tax implications of investing in ELSS?

Under section 80C of the Income Tax Act, investments in ELSS funds are eligible for a tax exemption of up to ₹1,50,000. As ELSS funds are open-ended equity funds, they are taxed in the same way as equity funds. There are no short-term financial gains with ELSS because they have a three-year lock-in period. They are, however, liable to a 10% long-term capital gains tax on gains exceeding ₹1,00,000.

How can I invest in an ELSS?

SIP and lump sum investments are both options for ELSS funds. Since ELSS funds are equity-based, the SIP approach is preferable due to its advantages. ELSS funds can be purchased online through the Upstox platform or the fund house’s website. Offline investing is also possible by visiting the fund house’s nearest branch.

Who should invest in ELSS?

The ELSS fund is designed for investors who want to save taxes while investing in equities and gaining exposure. These funds are also aimed at investors looking for a variety of investments in mutual funds. ELSS, like any other tax-saving option, is not an option for investors seeking fixed returns. As ELSS invests in equity, the returns are market-tied and fluctuating.

What is the amount that someone can invest in a financial year?

There is no upper limit to the amount you can invest in a financial year. Based on your budget and financial goals, you can invest as much as you want. However, tax savings are available for ELSS investments up to ₹1,50,000 every year.

Are ELSS funds risky?

As the name suggests, ELSS funds invest in equities and like every other market-linked mutual fund, these funds are subject to the market risks too. However, you will be able mitigate this risk by contributing to the fund with a long-term approach.

What is the best time to invest in ELSS?

Most of the investors invest in ELSS towards the end of the financial year to save tax, which might not be the best strategy. Tax saving is an essential consideration for investing in these funds, but it must not be the primary reason. The best way to maximise returns from these funds is to invest with a long-term approach. Therefore, identify your investment goals at the beginning of the year and invest accordingly through SIPs. Investing regularly throughout the year can reduce your exposure to market volatility and build wealth over a period of time.

This calculator is meant to be used for indicative purposes only. It is designed to assist you in determining the appropriate amount of prospective investments. This calculator alone is not sufficient and shouldn’t be used for the development or implementation of any investment strategy. Upstox does not take the responsibility/liability nor does it undertake the authenticity of the figures calculated therein. Upstox makes no warranty about the accuracy of the calculators/reckoners. The examples do not claim to represent the performance of any security or investments. In view of the individual nature of tax consequences, each investor is advised to consult his/her own professional tax advisor before making any investment decisions on the basis of the results provided through the use of this calculator.