Investments
Step-up SIP explained
A step-up SIP increases the monthly contribution at a chosen interval, often annually; it increases the amount invested and changes any projection.
What steps up
For example, a ₹10,000 monthly SIP with a 10% annual step-up becomes ₹11,000 a month in year two, before considering any market return. The step-up is a contribution decision, not a return.
Why projections change
Later contributions have less time to compound than earlier ones, while the growing contribution amount increases total invested. A fixed-SIP calculator should not be treated as a precise step-up projection.
Affordability first
Base a step-up on a realistic change in surplus income, not on an assumed market return. You can pause, change or stop a contribution according to the product's terms.
Investment risk remains
A larger or longer SIP does not guarantee a positive outcome. Fund value, costs, tax and timing can all differ from a mathematical illustration.
How to check a SIP projection
Multiply the monthly contribution by the number of months to find total invested. Then compare that with the projection. For ₹10,000 a month over 10 years, total invested is ₹12,00,000; at a 12% annual assumption, WealthAura's start-of-month method projects about ₹23.23 lakh. That difference is a projection, not a return you can rely on.
This guide is for general education. Rules, lender terms, bank terms and individual circumstances can change the result.
Use the relevant calculatorFrequently asked questions
Does a SIP projection guarantee a return?
No. It uses the selected constant return assumption; market-linked investments can rise or fall.
Which calculator should I use with this guide?
Use the SIP calculator for a fixed monthly contribution and treat the output as an illustration.