A step-up SIP increases your monthly investment every year, so your savings keep pace with your income instead of staying fixed. See how much difference that makes at maturity.
Got a bonus, maturity payout, or any one-time amount you added along the way? Add each one below with the date you invested it — we'll grow it alongside your step-up SIP from that point on.
| Year | Monthly SIP that year | Opening balance | Invested this year | Est. returns this year | Closing balance |
|---|
A step-up SIP works exactly like a regular SIP, except your monthly contribution itself grows every year - which compounds on top of the market returns.
Starting from your chosen monthly amount, at the start of every new year your contribution increases by your chosen step-up percentage. So a ₹5,000 SIP with a 10% annual step-up becomes ₹5,500/month in year 2, ₹6,050/month in year 3, and so on - each amount then compounds monthly at your expected return for however long it's invested, exactly like a regular SIP.
Monthly amount in year Y = Starting amount × (1 + step-up%)Y−1
Two things stack together here: you're investing more money overall (since your contribution keeps growing), and because a step-up SIP tends to shift more of your investing toward mid-to-late tenure - when your contribution is largest - those larger contributions still get meaningful time to compound if your tenure is long enough. The comparison box above shows exactly how much more your step-up SIP is projected to reach versus a flat SIP of the same starting amount.
A step-up (or top-up) SIP automatically increases your monthly investment by a fixed percentage every year, usually to match salary increments, instead of investing the same fixed amount for the entire tenure.
It depends on your step-up percentage, return rate, and duration, but a step-up SIP typically results in a meaningfully higher maturity value than a fixed SIP with the same starting amount, since your total invested amount is also higher and later, larger contributions still get time to compound.
Many investors set it to roughly match their expected annual salary increment, commonly 5-10%, so their SIP contribution grows in line with their income rather than staying fixed while their earning capacity increases.
No. Like a regular SIP, a step-up SIP invests in mutual funds, which are market-linked. The expected return you enter is an assumption for illustration only, not a guaranteed outcome.