SIP calculator Nepal: what your monthly SIP will be worth

How the SIP calculator works

It works the way Nepal's fund managers' own calculators do, so you get the same answer from them and from us. The yearly rate is divided by the instalments in a year (10% a year is 0.833% a month), and each instalment is paid at the start of its month. NMB Capital's calculator gives Rs 78,082.38 for Rs 1,000 a month at 10% for 5 years; so does this one (Rs 78,082).

The sum is the future value of the instalments: FV = P × [((1 + i)ⁿ − 1) ÷ i] × (1 + i), where P is the instalment, i the rate for one period and n the number of instalments. A step-up raises P at the start of each new year; a lump sum on day one grows at the same rate beside it.

The Real funds tab does not assume a rate at all. It buys units each month at the NAV the fund actually published, counts the cash the fund actually paid out, and gives the yearly return on the money paid in.

What return to expect from a SIP in Nepal

Mutual funds in Nepal have no fixed rate of return; every manager's calculator says so in its small print. These are the rates that have actually happened, which the calculator offers as starting points:

• A bank deposit now: 4.0%, the average top rate 20 banks offered individuals in Kartik 2083; 3.8% after the 6% tax on interest. Fixed, and the floor a SIP should beat.
• NEPSE as a SIP since July 2016: 7.6% a year, Rs 5,000 a month in the index to October 2026. The index leaves out dividends and has no fees, so it is a guide to the market, not a fund.
• A real SIP in Siddhartha's fund, August 2021 to November 2026: 9.0% a year. Rs 3,20,000 paid in became Rs 4,01,141.
• A real SIP in NIBL Sahabhagita, January 2021 to October 2026: 2.0% a year, less than the same money in fixed deposits (Rs 4,40,394 against Rs 3,73,968).
• Funds since they opened (a Rs 10 unit, with the cash it paid, before tax): from 2.4% a year (NMB Saral Bachat Fund-E) to 9.5% (Kumari Sunaulo Lagani Yojana).

Step-up SIP in Nepal

A step-up SIP raises the instalment every year, usually as your salary rises. Rs 5,000 a month at 10% for 10 years grows to Rs 10,32,760; raise it 10% each year and it grows to Rs 15,22,926, from Rs 9,56,245 paid in.

No Nepali fund manager raises the instalment for you automatically (checked November 2026). NIC Asia's equity-linked fund has a "SIP Booster" for extra purchases, and Citizens has a top-up. To step up, change the amount on your bank's standing instruction or your connectIPS mandate each year.

SIP vs FD: which grows more

The same Rs 5,000 a month for 10 years: a SIP that earns 10% a year ends at Rs 10,32,760; a fixed deposit at 4.0%, after the 6% tax on interest, ends at Rs 7,29,285. At 8% the SIP ends at Rs 9,20,828, at 12% at Rs 11,61,695.

The deposit's figure is promised; the SIP's is not. A SIP can lose to a deposit for years, as the NIBL Sahabhagita SIP above did. The calculator draws both lines on one chart so you can see the gap, and the Real funds tab shows each fund against the deposits of the same months.

How much SIP do you need for Rs 1 crore?

At 10% a year, paid monthly, with nothing to start with:

• In 10 years: Rs 48,414 a month
• In 15 years: Rs 23,928 a month
• In 20 years: Rs 13,060 a month
• In 25 years: Rs 7,474 a month
• In 20 years at 12% a year: Rs 10,009 a month. At 10% with a 10% step-up each year: Rs 6,194 a month to start.
• Rs 1 crore in 20 years is worth about Rs 34,27,290 in today's money at 5.5% inflation, Nepal Rastra Bank's projection for 2083/84.

SWP: a monthly income from a fund

A systematic withdrawal plan sells a few units each month and pays you. The SWP tab shows how long a sum lasts at a monthly withdrawal, or what is left after a number of years.

In Nepal NIC Asia's equity-linked fund and Dynamic Debt Fund, NIBL Sahabhagita and Shubha Laxmi Kosh offer one; the others do not yet. Each withdrawal is a sale, so the exit fee and the tax on the gain apply to it.

Charges and tax the calculator leaves out

• Rs 5 a transaction to the depository, on each instalment. The Real funds tab counts it.
• Exit fee if you sell soon: commonly 1.5% within 6 months, 1.25% to a year, 1% to 18 months, 0.75% to 2 years, nothing after. A few funds differ.
• 5% tax on cash a fund pays out, taken before it reaches you; final for individuals.
• Tax on the gain when you sell units back: the rate is not settled. It may be 3.75% or 5% like listed shares, 10% under the Act's text, and the managers' pages still show 5% and 7.5%. See the SIP guide.