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Lumpsum Plus SIP Calculator

Calculate investment returns combining lumpsum and systematic investment plans (SIP)

Investment Calculator

One-time investment amount

Target investment value

%

Annual return percentage

years

Investment duration in years

SIP (Systematic Investment Plan) Details

Regular investment amount

Investment frequency

When SIP is invested

Advanced Options

%

Annual inflation percentage

How often interest compounds

Investment Results

₹2,63,398
Final Investment Value
Total gains: ₹1,33,398
₹1,30,000
Total Invested
Lumpsum + SIP contributions
₹1,33,398
Total Gains
Returns on investment

Lumpsum Component

Initial Investment:₹10,000
Future Value:₹31,058
Gains:₹21,058

SIP Component

Total SIP Invested:₹1,20,000
Future Value:₹2,32,339
Gains:₹1,12,339

Inflation Adjusted Value

Future value in today's purchasing power: ₹1,47,080

Adjusted for 6% annual inflation over 10 years

Investment Analysis

Return Multiple: 2.03x your investment
Effective Annual Return: 0.07%
Real Return (after inflation): 1.24%
SIP vs Lumpsum Contribution: 88.2% SIP, 11.8% Lumpsum

Example Calculation

Retirement Planning Example

Initial Lumpsum: ₹5,00,000 (bonus/inheritance)

Monthly SIP: ₹15,000 for 20 years

Expected Return: 12% annually

Investment Period: 20 years

Projected Results

Total Invested: ₹41,00,000 (₹5,00,000 + ₹36,00,000)

Lumpsum Value: ₹48,23,173

SIP Value: ₹1,32,29,058

Total Value: ₹1,80,52,231

Total Gains: ₹1,39,52,231

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SIP vs Lumpsum Comparison

Lumpsum Investment

  • • One-time large investment
  • • Market timing matters
  • • Higher risk, higher potential return
  • • Good for windfall money

SIP Investment

  • • Regular periodic investments
  • • Rupee cost averaging
  • • Lower risk, disciplined approach
  • • Good for salary earners

Investment Tips

Combine both strategies for balanced growth

Start SIP early to benefit from compounding

Use lumpsum during market corrections

Consider inflation while planning

Review and adjust annually

Risk Considerations

⚠️

Past performance doesn't guarantee future returns

⚠️

Market volatility can impact short-term returns

⚠️

Consider exit load and expense ratios

⚠️

Inflation erodes purchasing power

Understanding Lumpsum + SIP Investment

What is Lumpsum + SIP?

Lumpsum + SIP is a hybrid investment strategy that combines the benefits of both one-time large investments (lumpsum) and regular periodic investments (SIP). This approach allows investors to optimize their returns while managing risk through diversification.

Key Benefits

  • Balanced risk and return profile
  • Rupee cost averaging through SIP
  • Immediate market exposure through lumpsum
  • Disciplined long-term wealth creation

Calculation Formulas

Lumpsum Future Value:

FV = PV × (1 + r)^n

SIP Future Value:

FV = PMT × [((1 + r)^n - 1) / r]

  • FV: Future Value
  • PV: Present Value (Lumpsum)
  • PMT: Periodic Payment (SIP)
  • r: Periodic Interest Rate
  • n: Number of Periods

When to Use This Strategy?

Use Lumpsum When:

  • • You receive a bonus or windfall
  • • Market is at attractive levels
  • • You have surplus funds available
  • • Interest rates are falling

Use SIP When:

  • • Regular income available
  • • Market timing is uncertain
  • • Building long-term wealth
  • • Risk appetite is moderate
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