Mutual Fund Calculator: How to become rich is the most sought question from the mutual fund advisors. However, every mutual fund investor knows that genius doesn't do different things, they do things differently. Using some wit and grit in the traditional form of mutual fund SIP investment, a smart investor can help one's money grow at much higher levels than an ordinary investor. Step-up in one's mutual funds monthly SIP is one such option. 

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Speaking on the mutual funds investment and SIP returns Kartik Jhaveri, Director — Wealth Management at Transcend Consultants said, "If an investor invests for long-term, say 25 years to 30 years, one can expect one's money to grow around 15 to 17 per cent depending upon the plan chosen." Jhaveri advised SIP investors to start investing at the early phase of one's career so that they can go long for up to 25 or 30 years.

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Following Jhaveri's advice, if a SIP investor starts Rs 6,000 monthly SIP for 30 years assuming an annual return of 15 per cent, the mutual fund calculator suggests that he or she would get Rs 4.21 crore maturity amount. During this period of 30 years, the investor has invested Rs 21.6 lakh.

On the difference between an ordinary investor and a smart investor Jitendra Solannki said, "An investor would definitely get annual increment in one's monthly income. So, he or she should increase one's monthly SIP money by around 10 per cent annually. By doing this, the SIP investor will be able to get the compounding benefit on one's interest and the step-up money."

Using the Mutual Fund Calculator on the lines of Jitendra Solanki's advice, assuming an annual 15 per cent return on Rs 6,000 SIP for 30 years, the maturity amount grows up to whopping Rs 7,61,92,899 or Rs 7.61 crore, which is around 80 per cent higher than the SIP without step-up. By using the step-up trick, the investor manages to increase one's investment amount from Rs 21.6 lakh (without step-up) to Rs 1,18,43,570, which is around 4.48 times of the amount invested without step-up. 

Jitendra Solanki said that by step-up trick, an investor has the luxury to pare the losses he or she will have to bere, in case, the annual return goes down due to the volatility (as we witness in 2008-10) in the market in last 3-4 years of the maturity period.