SIP Calculator
Plan monthly investing and future value using return assumptions, timeline, and optional inflation adjustment.
Number Format
Choose how amounts are displayed in results
Calculate returns on your monthly investment
Maximum 1000% allowed
Maximum 60 years allowed
Show Inflation Adjustment
Display real purchasing power in addition to nominal value
SIP Calculator Pakistan — Free Investment Planning Tool
A Systematic Investment Plan (SIP) is one of the most effective ways to build wealth over time in Pakistan. Instead of investing a large lump sum, you invest a fixed amount every month — letting compound interest do the heavy lifting over years and decades.
This free SIP calculator helps you project long-term returns from monthly investing. Switch between investment mode (how much will I have?) and goal-based mode (how much should I invest monthly to reach my target?), then compare your total invested amount, projected future value, and profit at a glance.
The optional inflation adjustment helps estimate the real purchasing power of your final amount — not just nominal growth. A PKR 10 million corpus in 20 years is worth significantly less in today's rupees due to inflation, and this calculator accounts for that.
What Is SIP Investing and How Does It Work in Pakistan?
SIP is a disciplined investment method where you invest a fixed rupee amount at regular intervals — typically monthly. It is most commonly used to invest in mutual funds in Pakistan through asset management companies (AMCs) regulated by the Securities and Exchange Commission of Pakistan (SECP), such as Meezan Investments, UBL Funds, and MCB-Arif Habib Savings.
The key advantage of SIP over lump-sum investing is rupee-cost averaging. When markets go down, your fixed monthly amount buys more units at a lower price, reducing your average cost over time. This makes SIP less risky than trying to time the market — a strategy that even professional investors consistently fail at.
Even a modest PKR 5,000 per month invested consistently over 20 years at a 12% annual return grows to approximately PKR 49.9 Lac — while you only put in PKR 12 Lac. The rest is compounding profit.
Realistic Return Rates for SIP in Pakistan
When using the calculator, you need to enter an expected annual return rate. Here is a practical guide based on Pakistani investment options:
| Investment Type | Expected Annual Return | Risk Level |
|---|---|---|
| Money Market / Savings Fund | 10%–14% | Very Low |
| Income / Bond Fund | 12%–16% | Low |
| Balanced Fund | 14%–18% | Medium |
| Equity / Stock Fund | 15%–22%+ | High |
For long-term planning (10+ years), using 12%–15% is a conservative and reasonable assumption for Pakistan. Short-term results vary based on market conditions, interest rates, and inflation cycles.
How Compound Interest Builds Wealth Over Time
The table below shows how compounding turns small monthly contributions into significant wealth. Total invested amounts are shown in parentheses.
| Monthly SIP | Rate | 10 Years | 20 Years | 30 Years |
|---|---|---|---|---|
| PKR 5,000 | 12% | ~11.6 Lac | ~49.9 Lac | ~1.76 Crore |
| PKR 10,000 | 12% | ~23.2 Lac | ~99.9 Lac | ~3.53 Crore |
| PKR 25,000 | 15% | ~69 Lac | ~3.75 Crore | ~17.5 Crore |
In the first row, total invested over 30 years is only PKR 18 Lac — yet the projected value is PKR 1.76 Crore. The extra PKR 1.58 Crore is purely compounding profit. Use the calculator above with your own numbers to see this effect personalised.
Frequently Asked Questions (FAQs)
What is the minimum amount to start a SIP in Pakistan?
Most Pakistani mutual funds allow you to start a SIP with as little as PKR 500–1,000 per month. Many platforms like UBL Funds and Meezan Investments offer this entry point. There is no upper limit — you can invest any amount monthly.
Is SIP investment safe in Pakistan?
SIP investment in SECP-regulated mutual funds is generally considered safe from a regulatory standpoint. However, returns are not guaranteed. Equity funds can decline in value short-term. Money market and income funds are more stable. SIP reduces timing risk through regular investing but does not eliminate market risk entirely.
Why does the calculator show results in Lakh and Crore?
For large numbers, Pakistanis commonly use Lakh (100,000) and Crore (10,000,000) rather than millions and billions. This calculator displays results in both formats — standard international notation and the local Lakh/Crore format — so the projections are easy to read and compare.
How does the inflation adjustment work?
When you enter an inflation rate, the calculator shows your projected corpus in today's rupees (real value), not just the nominal future amount. For example, if your projected corpus is PKR 1 Crore in 20 years but inflation averaged 8%, the real purchasing power in today's terms is approximately PKR 21.5 Lac. Always plan with inflation in mind for long-term goals.
Is income from mutual funds taxable in Pakistan?
Yes. Capital gains from mutual funds are taxable in Pakistan. The rate depends on your filer status and the holding period. Dividend income is subject to withholding tax — typically 15% for filers and 30% for non-filers. Consult the FBR website or a tax advisor for your specific situation.