Mutual Fund Calculator
What regular investing in mutual funds builds, after inflation and tax.
A Rs 10,000 monthly mutual fund investment for 15 years at 12% grows to about Rs 50 lakh. Indian equity funds held over 12 months are taxed at 12.5% on gains above Rs 1.25 lakh a year, and each SIP instalment is aged separately for that test.
How this is calculated
Year-by-year breakdown
Free mutual fund calculator for India and the US
This mutual fund calculator projects what monthly investing in equity or hybrid funds grows into, and then does the part most tools skip: it shows the capital gains tax you would owe on redemption and the inflation-adjusted value of what is left. The number you can actually spend is smaller than the headline, and it is drawn right into the chart.
Indian equity funds have returned roughly 11 to 13% a year over long periods, but no fund returns its average in any given year. Treat the projection as a planning range, not a promise, and test it at 10% and 14% as well as 12%.
Worked example
| Monthly investment | Years | Return | You invest | Approx. value |
|---|---|---|---|---|
| Rs 5,000 | 10 | 12% | Rs 6 lakh | ~Rs 11.6 lakh |
| Rs 10,000 | 15 | 12% | Rs 18 lakh | ~Rs 50 lakh |
| Rs 25,000 | 20 | 12% | Rs 60 lakh | ~Rs 2.5 crore |
What the tax actually costs
Equity mutual funds held over 12 months are taxed at 12.5% on long-term gains above Rs 1.25 lakh a year under Section 112A; anything held 12 months or less is taxed at 20% under Section 111A. Because each SIP instalment has its own holding period, only the final year's instalments are short-term, and this calculator ages them individually rather than applying one blanket rate.
Investing a lumpsum instead? Use the lumpsum calculator. Measuring a folio you already hold? The XIRR calculator gives the real number. Withdrawing regularly? See the SWP calculator.
Key facts
| Long-run Indian equity fund return | Roughly 11 to 13% a year, with wide variation |
|---|---|
| India LTCG on equity funds | 12.5% above Rs 1.25 lakh a year, over 12 months |
| India STCG on equity funds | 20%, held 12 months or less |
| How SIP tax is split | Each instalment ages separately, FIFO |
How to use the Mutual Fund Calculator
- Pick India (INR) or the US (USD).
- Enter what you invest each month and any starting lumpsum.
- Set the number of years and the return you expect from the fund category.
- Add an annual step-up if you plan to raise the amount each year.
- Turn on inflation and the tax estimate to see the real, post-tax outcome.
- Read the projected value, the gains and the tax, or share the result with a link.
Sources
- Securities and Exchange Board of India
- Association of Mutual Funds in India
- Income Tax Department, Government of India
Last reviewed and updated: 23 August 2026. Estimates only, not financial or tax advice.
Frequently asked questions
How are mutual fund returns calculated?
Each monthly instalment compounds at the expected annual return divided by twelve, from the date it is invested to the redemption date. The total is the sum of every instalment grown forward, plus any lumpsum compounded for the full period.
What return should I expect from Indian equity mutual funds?
Historically about 11 to 13% a year over long periods for diversified equity funds, though individual years vary enormously and past returns guarantee nothing. Debt funds have returned closer to 6 to 8%. Test your plan at a lower return before relying on it.
How much tax do I pay on mutual funds in India?
Equity funds held over 12 months are taxed at 12.5% on long-term gains above Rs 1.25 lakh a year (Section 112A). Held for 12 months or less, gains are taxed at 20% (Section 111A). This calculator ages each instalment separately so the split is done correctly.
Is SIP better than lumpsum in mutual funds?
SIP removes the timing decision and suits money that arrives monthly, which is most people's situation. A lumpsum invested early has more time in the market and wins more often in rising markets, but it is far harder to live through a drawdown. The sip vs lumpsum guide compares both honestly.
Is this mutual fund calculator free?
Yes, free with no sign-up, login or ads.