"How much SIP is needed for ₹1 crore?" has a precise mathematical answer once you fix two assumptions: your expected annual return and your time horizon. At a realistic 12% equity return, the answer ranges from about ₹1,600 a month (if you give it 35 years) to ₹43,000 a month (if you only give it 10). The gap between those two numbers is the entire argument for starting early.
The ₹1 crore SIP table (12% assumed return)
| Horizon | Monthly SIP | You invest | Compounding adds |
|---|---|---|---|
| 35 years | ₹1,582 | ₹6.6 lakh | ₹93.4 lakh |
| 30 years | ₹2,833 | ₹10.2 lakh | ₹89.8 lakh |
| 25 years | ₹4,296 | ₹12.9 lakh | ₹87.1 lakh |
| 20 years | ₹10,109 | ₹24.3 lakh | ₹75.7 lakh |
| 15 years | ₹20,170 | ₹36.3 lakh | ₹63.7 lakh |
| 10 years | ₹43,041 | ₹51.6 lakh | ₹48.4 lakh |
Read the last column carefully: over 35 years, compounding contributes 93% of the corpus while you contribute just 7%. Over 10 years, you must supply more than half yourself. Time, not money, is the scarce input.
The maths behind the table
A SIP compounds as a monthly annuity:
Working backwards for a 20-year horizon: ₹1 crore ÷ [((1.01)²⁴⁰ − 1) ÷ 0.01 × 1.01] ≈ ₹10,109/month. At a more conservative 10% return the same 20-year figure rises to about ₹13,169 — which is why you should model both rates. The SIP Calculator runs this formula with your exact inputs, including a step-up mode.
The step-up SIP shortcut
Most tables (including the one above) assume a flat monthly amount for decades — unrealistic when salaries rise 8–10% a year. A 10% annual step-up changes the picture dramatically: to reach ₹1 crore in 20 years at 12%, you can start at just ₹6,475/month (increasing 10% yearly) instead of ₹10,109 flat. In 15 years, the step-up start falls from ₹20,170 to about ₹11,750. The rule of thumb: a 10% step-up roughly halves the required starting SIP for horizons beyond 15 years.
What return should you assume?
- 10–12% — the honest long-run band for diversified equity funds in India. 12% is the ceiling for planning, not the promise.
- 7% — hybrid/conservative funds; ₹1 crore in 20 years then needs about ₹20,750/month.
- Anything above 15% — treat as a sales pitch. Plans built on 18–20% returns collapse when a normal bear year arrives.
₹1 crore is a milestone, not a retirement number
At a safe 3.5–4% withdrawal rate, ₹1 crore generates roughly ₹3–4 lakh a year — comfortable as a mid-career milestone, thin as a full retirement corpus for most urban households. Pair this goal with the Retirement Calculator to size the number your own lifestyle actually needs, then work backwards with SIPs. And if you’re carrying expensive debt while investing, settle the EMI-vs-SIP priority question first.