RBL Bank26 min ago
15x15x15 SIP Formula: In how many years can your Rs 15,000 monthly investment grow to over Rs 1 crore using the formula?
- Written by Priya Vishwakarma
Published: Zee Business| Updated: Zee Business
What is the 15x15x15 SIP Formula? Are you planning to invest money in a SIP for the future, but are new to investing? If so, there are several SIP formulas available in the market that are useful for those who are unsure about how to create a long-term SIP plan. But before jumping into it, let's understand what a SIP or Systematic Investment Plan is. It is an investment strategy that allows investors to invest money based on their financial capacity in mutual funds. It offers investment flexibility that means investors can pause, withdraw, or increase their SIP contributions.
Benefits of SIP investment
Power of Compounding
No lock-in period, investor gets to choose
Rupee cost averaging
Now let's move into the formulas. Well, these formulas help people create an estimated roadmap for investing money in SIPs. One of the popular SIP formulas is the 15x15x15 formula. What is this formula, and how does it work? Let’s understand in this write-up –
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(Disclaimer: Our calculations are projections and not investment advice. Do your own due diligence or consult an expert for financial planning.)
1/9
What is the minimum amount to invest in an SIP?
1/9One can start investing in SIP with as low as Rs 500 per month.
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What is the maximum amount to invest in an SIP?
2/9There is no maximum limit for investing in SIP mutual funds.
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Financial planning with SIP: What is the 15x15x15 formula?
3/9The 15x15x15 SIP formula is a financial strategy designed to help an investor accumulate Rs 1 crore (approx.) in just 15 years. Let's find out how -
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15x15x15 SIP Rule Explained: How does the formula work?
4/9According to the formula, First "15" represents - monthly investment in SIP, i.e., Rs 15,000/month. Second "15" represents the annualised return rate, i.e., 15 per cent (estimated). The third "15" shows the number of investment years, i.e., 15 years.
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15x15x15 SIP Formula: How to invest Rs 15,000 monthly to get Rs 1 crore?
5/9Now, let's apply the 15x15x15 SIP Formula and calculate how much corpus one can accumulate in 15 years with a 15 per cent annual interest rate:
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SIP investment 15 years: How much money will be invested in 15 years using the 15x15x15 SIP formula?
6/9According to the calculation, if a person invests Rs 15,000 every month in SIP for 15 years, then the total amount he/she inves will be Rs 27,00,000.
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15x15x15 SIP Formula: What will be the estimated capital gains with a Rs 15,000 monthly SIP?
7/9According to the formula, the assumed annualised return is 15 per cent. So the estimated capital gain in 15 years would be around Rs 74,52,946.
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SIP Investment: How much money would one receive in total after 15 years?
8/9Now, your total amount after 15 years will be around Rs 1,01,52,946. This is the sum of your initial investment and the capital gains made from it.
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15x15x15 SIP Formula: Rs 1 crore corpus with SIP calculation
9/9Monthly investment: Rs 15,000 Total investment: Rs 27,00,000 in 15 years Estimated Capital Gain: Rs 74,52,946 Total Amount Received: Rs 1,01,52,946
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