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What does a ₹5,000/month step-up SIP grow to in 15 years with 10% annual increments?

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The Answer
~₹41 Lakh
at 12% p.a. returns with 10% annual step-up

Calculate how a ₹5,000/month SIP that increases by 10% every year grows over 15 years — showing how salary-linked step-ups dramatically boost your final corpus.

By Aditya GuptaAccounting & Finance EducatorLast reviewed May 31, 2026Source: AMFI

Why Step-Up SIP Beats Flat SIP

A flat ₹5,000 monthly SIP for 15 years at 12% returns gives about ₹25 lakh. A step-up SIP starting at ₹5,000 and growing 10% annually for the same 15 years gives about ₹41 lakh — 65% more, for the simple reason that you invest more each year as your income rises.

This matches how Indian salaries actually move. A fresher on ₹6 LPA today typically earns ₹15-20 LPA in 10 years — investing the same ₹5,000 throughout would mean saving a smaller fraction of income each year. Step-up SIPs convert salary growth into corpus growth automatically.

Most mutual fund apps (Groww, Zerodha Coin, Paytm Money, Kuvera) support step-up SIPs natively — you set the start amount, the annual percentage increase, and the duration; the system raises your contribution on the same SIP date each year. For first-time investors who fear committing too much upfront, this is a more honest version of “invest as much as you can”: start small, grow with your income, end with significantly more.

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Step-Up SIP Calculator

Corpus at Maturity
Total Amount Invested
Returns Earned
Final SIP Amount
Visual Breakdown
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How We Calculated This

Starting monthly SIP: ₹5,000
Annual step-up: 10% (SIP increases each year in April)
Expected return: 12% p.a. compounded monthly
Investment tenure: 15 years
Total years: starts at ₹5,000, reaches ₹18,987/month in Year 15
Total investment varies — calculated dynamically by the calculator above

Frequently Asked Questions

How does a step-up SIP differ from a regular SIP?+
In a regular SIP, you invest the same amount every month. In a step-up SIP, you increase the amount by a fixed percentage each year (typically 10–15%), aligning with typical salary increments.
Is the step-up mandatory?+
No — it's a feature offered by most AMCs. You can opt in when setting up the SIP mandate. If you skip a step-up year, you simply continue at the same amount.
What's the tax treatment on step-up SIP gains?+
Each SIP instalment is treated as a separate investment with its own purchase date. Units held over 1 year attract LTCG tax at 12.5% above ₹1 lakh. Units sold before 1 year face 20% STCG.
What if I can increase by 15% instead of 10%?+
At 15% annual step-up (starting ₹5,000, 12% returns, 15 years), the corpus grows to approximately ₹60–65 lakh — significantly higher. Even a small increase in step-up % dramatically changes the final outcome.
Can I pause or reduce the step-up?+
Yes — most AMCs allow you to modify the step-up instruction before the anniversary date. You can reduce, pause, or increase the step-up amount without stopping the base SIP.