Lump sum moved monthly from a debt fund to equity, against investing it all at once
Estimates only, not financial advice. What you type stays on your device. Updated on 24 Oct 2026.An STP (systematic transfer plan) that moves ₹6 lakh into a target fund at ₹50,000 a month for 12 months, assuming 6.5% a year on the source fund and 12% on the target, ends at ₹6,59,099.21, a gain of ₹59,099.21. Putting the whole sum into the target on day one would end at ₹6,76,095.02.
Enter the "Lump sum in the source fund", usually a liquid or debt fund.
Set "Number of transfers" and "Transfer every month", or press "Use it" to spread the lump sum evenly.
Set "Source fund return (assumed)" and "Target fund return (assumed)".
Read the "STP value" against "Lump sum in the target on day one", and whether the STP is ahead or behind.
Press "Share result" to copy a link with these inputs.
A systematic transfer plan (STP) is a standing instruction to a mutual fund: keep a lump sum in one scheme, often a liquid or short-duration debt fund, and switch a fixed amount into another scheme, often an equity fund, every month. It is how investors with a large sum spread their entry into the market instead of buying on one day.
How it is worked out. Each month the transfer leaves the source fund at the start of the month, then both funds grow for the month at the returns you assume, using the annual rate divided by 12, the same convention as the site's SIP and SWP calculators. If the source runs short, the last transfer takes what is left. Alongside, the calculator grows the whole lump sum in the target fund from day one, so you can see the difference month by month.
What the comparison shows. With steady assumed returns, the lump sum invested at once in the higher-return fund always ends ahead, because more money is invested for longer. An STP pays off only when the target fund falls during the transfer period and you buy later units cheaper. That is a risk trade-off, not a free gain: the STP lowers the damage of investing everything just before a fall, and costs some return when markets rise. Try a negative target return to see the other side.
The returns are yours to enter. No fund promises either return, and past returns do not predict future ones. The example figures are placeholders.
What it does not do. Every transfer is a redemption from the source fund, so it may trigger capital gains tax and, in the first months, an exit load. Neither is included. It does not model a variable or value-based STP, or the fund's expense ratio beyond what is inside the return you enter.
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Money sits in a source scheme, usually a liquid or debt fund, and a fixed amount is switched into a target scheme on a set date every month. Both parts stay invested: the rest keeps earning the source fund's return while the transferred part earns the target's. The plan ends when the chosen number of transfers is done.
Only if the market falls during the transfer period. With steady returns, a lump sum placed in the higher-return fund on day one ends ahead: ₹6 lakh at an assumed 12% gives ₹6,76,095.02 after a year, against ₹6,59,099.21 through a 12-month STP from a 6.5% fund. The STP reduces the risk of bad timing.
Divide the lump sum by the number of months over which you want to enter the market. ₹6 lakh over 12 months is ₹50,000 a month. A shorter period behaves more like a lump sum, a longer one keeps more money in the source fund. The calculator leaves any remaining growth in the source fund at the end.
Each transfer is a redemption from the source fund, so the gain on the units sold is a capital gain taxed under the rules for that fund type and holding period. Exit loads may apply in the first months too. This calculator does not include tax or exit loads, so the real result will be a little lower.
A SIP invests new money from your bank account every month. An STP moves money you have already invested from one fund to another. Both spread purchases over time; an STP suits someone who has a lump sum today, such as a bonus or a maturity amount, and does not want to invest it all at once.
Formula only: no rates or limits are read from an official source.
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Also works as: Systematic Transfer Plan Calculator.
On the related tools: Step-up SIP Calculator – See how raising your SIP every year changes the final corpus · ROI Calculator – Return on investment as a total percentage and as a yearly (annualised) rate.