Why use this SIP Calculator with Inflation?
Planning your financial future requires knowing the Real Value of your money. The Java Shark SIP Calculator helps you adjust returns for inflation, ensuring your goals are realistic.
- Inflation Adjustment: See what your corpus will actually buy in future (e.g., 20 years later).
- Step-up SIP: Calculate returns if you increase investment yearly.
- Lumpsum Mode: Calculate returns for one-time investments.
Did you know?
Inflation in India averages around 6%. If you ignore this, you might overestimate your wealth by 50%!
Compounding Formula: A = P × (1 + i)ⁿ - 1 / i × (1 + i)
Frequently Asked Questions
How does Inflation Adjustment work?
We use the formula: Real Value = Maturity Amount / (1 + Inflation Rate)^Years. This tells you the purchasing power of your money in today's terms.
What is Step-up SIP?
Step-up SIP allows you to increase your monthly contribution by a fixed percentage (e.g., 10%) every year. This helps you beat inflation and reach your financial goals much faster.
Is Mutual Fund SIP tax-free?
No. Equity Mutual Fund gains held for more than 1 year are taxed at 12.5% (LTCG) if the profit exceeds ₹1.25 Lakh. Short-term gains (less than 1 year) are taxed at 20%.