Mahindra SIP Calculator

Mahindra SIP Calculator

Mahindra Systematic Investment Plans, or SIPs, are an effective tool for gradually building your wealth through regular and small investments. Using the Mahindra SIP Calculator, you can estimate how your money will grow over time in the Mahindra SIP plans. The tool facilitates improved financial planning by letting you know the future value of your investments.

How does the Mahindra SIP Calculator work?

The Mahindra SIP Calculator is an online tool that streamlines investment through SIPs by enabling you to estimate the maturity value of your total investment. The calculator estimates the amount accumulated over time by considering the monthly investment amount, estimated yearly return rate, and investment tenure.

It then uses a compounding method to calculate the returns, giving you a clear picture of your potential returns and assisting you in visualizing how various investment scenarios can affect your financial goal.

Formula to calculate Mahindra SIP returns

The Mahindra online SIP calculator helps estimate the value of your investments at the end of the investment period by using this formula:

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

Here:

• FV denotes the future value or the maturity amount
• P is the principal amount invested in the SIP
• i stands for the monthly interest rate
• n is the number of months you will be investing

Benefits of investing through Mahindra SIP

Investing through Mahindra SIPs has several key benefits:

• Mahindra SIPs encourage regular investments, which can help cultivate a savings mindset.
• With a minimum investment of ₹500 per month, Mahindra SIPs can be accessible to most investors.
• The principle of rupee cost averaging helps cushion against market volatility.
• The flexibility to pause or adjust investments adds convenience.
• Mahindra SIPs offer diversification, reducing overall risk by spreading your investments across various assets.

How to use the Mahindra SIP Calculator?

• First, you need to open the Mahindra SIP Calculator.
• Then feed the amount you plan to invest each month, the investment period, and your expected annual return rate.
• The calculator will provide you with a summary of your total investment, wealth accumulated, and the maturity value at the end of the investment term.
• It also helps you adjust the monthly investment amount and take a look at various scenarios and maturity values.

How can the Mahindra SIP Calculator help you?

• Calculate monthly investment: The Mahindra SIP Calculator helps determine the monthly investment required to reach your desired end value at maturity.
• Determine investment details: With its accurate calculations, you can easily determine the total principal you need to invest, the profits earned, and the maturity value.
• Track progress: The Mahindra SIP Calculator also offers the flexibility to compare different investment options and keeps track of your progress toward your financial targets.

Examples of Mahindra SIP growth

Example 1:

• Monthly Investment: ₹3,500
• Duration: 15 years
• Expected Annual Rate of Return: 9%
• Total Investment: ₹3,500 × 12 months × 15 years = ₹6,30,000
• Future Value: Approximately ₹13,34,354

Example 2:

• Monthly Investment: ₹6,000
• Duration: 15 years
• Expected Annual Rate of Return: 9%
• Total Investment: ₹6,000 × 12 months × 15 years = ₹10,80,000
• Future Value: Approximately ₹22,87,463