SIP Calculation: When will a fund of Rs 20 lakh be created from 2000, 3000 and 5000 SIPs, see the calculation..

The easiest way to invest in mutual funds is through SIP. Today, you can create a huge fund with SIPs of Rs 2000, Rs 3000, and Rs 5000. Today we will understand how a fund of Rs 20 lakh can be created with such a SIP. Let's see its calculation.

Calculation
Below we have calculated two different returns of 12 and 14 percent. Mutual funds give a minimum return of 12 to 14 percent.

Rs 2000 SIP
If a person does a SIP of Rs 2000. Then at the rate of 12 percent return, you will get Rs 20,86,013 on maturity after 21 years.

If it is seen in terms of 14 percent return, then it will take 19 years to create a fund of Rs 20 lakh with a SIP of Rs 2000. After 19 years, you will get Rs 20,36,109 on maturity.

Rs 3000 SIP
As per a 12 percent return, it will take you 18 years to create a fund of Rs 20 lakh from a SIP of Rs 3000. After 18 years, you will get Rs 21,35,186 on maturity.

As per 14 percent, it will take you 17 years to raise a fund of Rs 20 lakh in a SIP of Rs 3000.

Rs 5000 SIP
If you do a SIP of Rs 5000, then as per 12 percent return, it will take you 14 years to create a fund of Rs 20 lakh. After 14 years, you will get Rs 20,67,700 on maturity.

Similarly, as per a 14 percent return, it will take you 13 years to raise a fund of Rs 20 lakh.

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