Mutual Fund Wealth Secret: ₹10,000 will become ₹2 crore in a month! You just have to press this ‘secret button’ in SIP; This powerful calculation of compounding will surprise you

Most salaried people and investors start a fixed SIP of ₹5,000 or ₹10,000 every month and keep the same amount running for years. While even a simple SIP creates wealth in the long run, it has one major drawback—your income and salary grow by 8% to 12% every year, but your investments remain the same!

When setting up a SIP on mutual fund platforms (like Groww, Zerodha, Kuvera or CAMS) there is an option—’Step-up SIP’ or ‘Top-up SIP’. This is the same ‘secret button’, once activated, your monthly installment automatically increases every year as per your wish (like 10% or ₹ 1,000). This small change takes your final fund straight from ₹1 crore to ₹2 crore in 15 to 20 years.

Regular SIP vs 10% Step-up SIP: Interactive Wealth Calculator

See how both strategies perform over 20 years with a standard long-term return (CAGR) of 12% on a monthly investment of ₹10,000 in the simulation below:

Let us understand with real data what difference starting with ₹10,000 per month makes over 20 years assuming 12% annual returns:

Case 1: Normal Fixed SIP (No Step-up)

• Investment per month: ₹10,000 (fixed for full 20 years)

• Your total savings in 20 years: ₹24,00,000 (₹24 lakh)

• Estimated Wealth Gain at 12% CAGR: Approximately ₹75,91,480

• Total corpus after 20 years: Approximately ₹99.91 lakh (~₹1 crore)

Case 2: 10% Step-up SIP (Smart Formula)

• First year: ₹10,000/month

• Second year (10% increase): ₹11,000/month

• Third year (10% increase): ₹12,100/month…more on that

• Your total savings in 20 years: ₹68,73,000 (₹68.73 lakh)

• Estimated Wealth Gain at 12% CAGR: Approximately ₹1,36,68,000 (₹1.36 crore)

• Total corpus after 20 years: Approximately ₹2,05,41,000 (~₹2.05 crore)

Bearing: Your final corpus based on small annual increases starting from just ₹1,000 Increase from ₹1 crore directly to ₹2.05 crore Done—that’s over 100% additional wealth!

1. Direct coordination with salary increment: Your salary increases every year. If you top up only a part of the increased money in SIP instead of spending it immediately, then your lifestyle is not affected and the savings automatically increase.

2. Brahmastra to defeat inflation: A normal ₹10,000 will not have the same value after 15 years as it does today. Step-up SIP does not allow the purchasing power of your investments to fall with inflation.

3. No pressure of huge amount at young age: If you can’t do a SIP of ₹30,000 a month straightaway today, no worries. Start with a comfortable amount like ₹10,000 and increase it over time as per your financial capacity.

1. Open your favorite investment app (Groww, Zerodha Coin, AngelOne etc.) and select the fund (Flexi Cap or Nifty 50 Index Fund).

2. ‘Start SIP’ After clicking on below ‘SIP Top-up’ Or ‘Step-up’ Turn on the toggle button.

3. There ‘Percentage’ select and ‘10%’ Set (or choose a fixed amount like ₹1,000 per year).

4. in frequency ‘Yearly’ Select and approve the Auto-Pay (e-Mandate).