What is Step-Up SIP Planning?
A Step-Up SIP automatically increases your monthly mutual-fund investment by a fixed percentage every year (typically 5-15%), in line with salary growth — without you needing to remember.
Who needs it?
- Salaried professionals with annual increments
- Anyone with a 10+ year goal (retirement, child)
- Investors with existing flat SIPs
Why it matters
Substantially higher corpus vs flat SIP for same 'feel'
Auto-aligned with salary growth and inflation
Forces discipline without re-decision pain
Works with any growth-oriented equity fund
Common myths, busted
Myth: I'll just increase manually each year.
Truth: Most investors never actually do this — automation is the entire point.
Real claim examples
- A ₹10K SIP stepped up 10% annually for 25 years ends ~74% larger than a flat ₹10K SIP at the same return.