Quick answer: A ₹5,000 monthly SIP for 20 years (₹12 lakh invested) could grow to about ₹29.6 lakh at 8%, ₹38.3 lakh at 10% or ₹50 lakh at 12% a year. Raise the SIP by 10% every year (a step-up SIP) and the 12% figure nearly doubles to about ₹99 lakh. These are projections, not promises. Equity returns vary from year to year.
Everyone asks this on Quora and gets twenty different answers. Here’s the full table and the assumptions behind it, so you can check it yourself.
₹5,000 per month SIP: returns table
Period | Total invested | At 8% | At 10% | At 12% |
|---|---|---|---|---|
10 years | ₹6 lakh | ₹9.2 lakh | ₹10.3 lakh | ₹11.6 lakh |
15 years | ₹9 lakh | ₹17.4 lakh | ₹20.9 lakh | ₹25.2 lakh |
20 years | ₹12 lakh | ₹29.6 lakh | ₹38.3 lakh | ₹50.0 lakh |
30 years | ₹18 lakh | ₹75.0 lakh | ₹1.14 crore | ₹1.76 crore |
Assumes monthly compounding and investment at the start of each month. Rounded. Not adjusted for taxes or expense ratios beyond what the assumed return reflects.
Look at the gap between year 20 and year 30. In the last 10 years at 12%, the corpus grows by ₹1.26 crore, and only ₹6 lakh of that is money you put in. That’s compounding, and it rewards time far more than amount.
Which return rate should you assume?
- 8%: a conservative, hybrid-heavy portfolio, or a cautious assumption for equity.
- 10%: a reasonable middle assumption for a diversified equity SIP over long periods.
- 12%: an optimistic but historically achievable figure for equity funds over 15+ years. It isn’t something to count on.
We plan with 10% and treat anything above it as a bonus. If a plan only works at 15%, it isn’t a plan.
What a step-up SIP does to the same ₹5,000
Your salary rises, so your SIP can too. Here’s ₹5,000 a month, increased by 10% every year, at 12%:
Period | Total invested | Flat ₹5,000 SIP | 10% step-up SIP |
|---|---|---|---|
10 years | ₹6 lakh / ₹9.6 lakh | ₹11.6 lakh | ₹16.9 lakh |
15 years | ₹9 lakh / ₹19.1 lakh | ₹25.2 lakh | ₹43.4 lakh |
20 years | ₹12 lakh / ₹34.4 lakh | ₹50.0 lakh | ₹99.4 lakh |
30 years | ₹18 lakh / ₹98.7 lakh | ₹1.76 crore | ₹4.42 crore |
“Total invested” shows flat SIP / step-up SIP.
A ₹5,000 step-up SIP gets to roughly ₹1 crore in 20 years at 12%. More on how this works in Step-Up SIP vs Regular SIP and What Happens If You Increase Your SIP by ₹500 Every Year.
What is that money worth after inflation?
Here’s the reality check most SIP calculators leave out. At 6% inflation, ₹50 lakh in 20 years will buy roughly what ₹15.6 lakh buys today.
Period | Value at 12% | In today’s money (6% inflation) |
|---|---|---|
10 years | ₹11.6 lakh | ~₹6.5 lakh |
15 years | ₹25.2 lakh | ~₹10.5 lakh |
20 years | ₹50.0 lakh | ~₹15.6 lakh |
30 years | ₹1.76 crore | ~₹30.7 lakh |
This isn’t a reason to skip the SIP. It’s the reason to start one, and to step it up. Money sitting in a savings account loses value at almost the full inflation rate.
Where should a ₹5,000 SIP go?
For a first SIP with a 10+ year horizon, keep it simple:
- One fund is enough at ₹5,000. A flexi cap or Nifty 50 index fund. Splitting ₹5,000 across five funds just copies the same stocks (How Many Mutual Funds Should You Own?).
- Moving to ₹10,000+? Add a second fund in a different category, such as a mid cap fund for long goals or a hybrid fund for medium ones.
- Goal under 5 years away? Equity is the wrong tool. Use a hybrid or debt fund.
Can’t decide between an index fund and a flexi cap fund for that first ₹5,000? We compare them directly in our upcoming flexi cap vs index fund guide.
Three things that will change your actual result
Missing instalments. Pausing for a year in the middle can cost more than you’d expect. See What Happens If You Miss Your SIP for 3 Months.
Stopping in a crash. The units you buy when the market is down 20% do most of the heavy lifting later.
Tax at exit. Equity gains above ₹1.25 lakh a year are taxed at 12.5% if held over 12 months. Redeeming gradually across several financial years keeps more of it tax-free.
Frequently Asked Questions
If I invest ₹5,000 a month for 20 years, how much will I get?
About ₹38 lakh at 10% a year or ₹50 lakh at 12%, on ₹12 lakh invested. Actual returns depend on the market and the fund.
Can a ₹5,000 SIP make me a crorepati?
At 12%, a flat ₹5,000 SIP crosses ₹1 crore in about 26 years. With a 10% annual step-up it gets there in about 20 years. See Is Your SIP Targeting ₹1 Crore?
Is ₹5,000 a month enough to start investing?
Yes. You can start with even ₹500 a month. Starting early matters more than the amount.
What’s the best fund for a ₹5,000 SIP?
For long goals, a single diversified equity fund (flexi cap or index) is a sensible start. Your risk profile and goal date matter more than any ranking.
Is SIP return guaranteed?
No. Mutual fund returns depend on the market. The figures above are illustrations, not projections.
