SIP calculator: Rs 250 JanNivesh scheme can leave you with Rs 17 lakh corpus in 30 years

A micro SIP of as low as Rs 250, launched by SBI Mutual Fund, can generate a decent-sized corpus of Rs 17 lakh in 30 years and if you are starting early, you can also become a crorepati in the next 30 years.

A monthly SIP of Rs 250 will help to accumulate a corpus of Rs 17.30 lakh in 30 years assuming an expected rate of return of 15%.

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In another scenario, an investor is investing in a mutual fund scheme through a monthly systematic investment plan (SIP) of Rs 250 for an investment period of 30 years with an expected rate of return of 12%.

The future value of this investment will be Rs 8.73 lakh after 30 years.

In the last scenario, an investor is investing in a mutual fund scheme through a monthly systematic investment plan (SIP) of Rs 250 for an investment period of 30 years with an expected rate of return of 10%.

The future value of this investment will be Rs 5.65 lakh after 30 years.

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This monthly SIP of Rs 250 for a period of 45 years will help an investor accumulate a corpus of Rs 1.63 crore with an expected rate of return of 15%. These are not inflation adjusted returns. An inflation rate can bring your corpus down.

“As we transition into a new phase of financial inclusion, innovation and inclusivity are essential. Our focus is on developing products, processes and technologies that make inclusivity seamless and effective. Through the JanNivesh SIP on our YONO app, we aim to empower more customers with innovative investment opportunities besides promoting financial inclusion," said Challa Sreenivasulu Setty, Chairman, State Bank of India.

"Progress should be accessible to all. With JanNivesh SIP starting at just Rs. 250, individuals can invest and grow their savings, empowering them to achieve their financial goals. Mutual funds have always aimed to democratize wealth creation, and this initiative is a significant step towards involving everyday savers in our nation's journey towards a 'Viksit Bharat'," said D.P. Singh, DMD and Joint CEO.

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The mutual fund investors can use the future value formula to find out the future value of their SIP investments. This formula gives a rough idea about how the monthly investments will grow over a period of time.

Future Value (FV) = P [ (1+i)^n-1 ] * (1+i)/i

In this formula:

FV = Future value or the amount you get at maturity.
P = Amount you invest through SIP
i = Compounded rate of return
n = Investment duration in months