Paused your mutual fund SIP investments? Here's how temporary interruptions can affect your financial goals

When investors think about financial mistakes, they usually quantify them in rupees. One common mistake is pausing SIPs for a temporary period and resuming them later. Here is how pausing your SIP mutual fund investments can hurt your financial goals, as reported by ET Wealth.

An investor who aims to build a corpus of Rs 1 crore through a monthly SIP of Rs 20,000 and expects a return of 10% annually. If the SIP continues uninterrupted, the target corpus can be accumulated in approximately 198 months, or about 16 years and 6 months.

The timing of the break of mutual fund SIP matters as much as its duration.

A 6-month SIP holiday taken after just three years of investing delays the goal by about 5 months. A 12-month SIP holiday taken after just three years of investing delays the goal by about 9 months. A 24-month SIP holiday taken after just three years of investing delays the goal by about 18 months.

A 6-month SIP holiday taken after just five years of investing delays the goal by about 4 months. A 12-month SIP holiday taken after just three years of investing delays the goal by about 8 months. A 24-month SIP holiday taken after just three years of investing delays the goal by about 14 months.

A 6-month SIP holiday taken after just 10 years of investing delays the goal by about 3 months. A 12-month SIP holiday taken after just three years of investing delays the goal by about 5 months. A 24-month SIP holiday taken after just three years of investing delays the goal by about 9 months.