Lumpsum Calculator
Got a bonus, a maturing FD, or an inheritance? A lumpsum investment puts the entire amount to work on day one — every rupee compounds for the full period, which is why lumpsums often beat SIPs in steadily rising markets (and lag them in volatile ones).
Example: ₹5 lakh invested once at 12% for 15 years becomes about ₹27.4 lakh — with zero further effort. The catch, of course, is timing: invest a lumpsum right before a crash and the early years hurt.
Four steps, thirty seconds.
Enter your one-time amount. The full sum you're deploying on day one.
Set the expected annual return. Match it to the asset — ~12% for equity funds, ~7% for FDs, ~8% for hybrid funds (planning assumptions, not promises).
Choose the horizon. Longer is kinder to lumpsums; 5+ years for equity, any length for FDs.
Check the year-by-year table. Notice how growth accelerates — the last 5 years usually add more than the first 10 combined.
The formula: FV = P × (1 + r)n — the purest compounding equation in finance.
Worked example: ₹5 lakh at 12% for 15 years → ₹27.37 lakh. Your money multiplies ~5.5× while you do nothing.
Standard compound-interest formula; identical to bank FD maturity math (RBI-published compounding conventions).
In steadily rising markets, lumpsum wins (more time compounding). In volatile or falling markets, SIPs win (averaging). Since nobody knows which market they'll get, many investors split: invest part now, SIP the rest.
Research consistently shows time in the market beats timing the market. If the money is for a 7+ year goal, investing now usually beats waiting for a dip that may not come.
A Systematic Transfer Plan parks the lumpsum in a liquid fund and moves it into equity monthly — a sensible middle path for large sums you're nervous about.
Same as SIP gains: equity held over a year faces 12.5% LTCG above ₹1.25 lakh/year; debt funds are taxed at your slab rate.
Disclaimer: Educational illustration only — not financial advice. Assumes a constant annual return; real market returns are volatile, especially in early years.