Annuity + Mutual Fund Growth Calculator
Grow your wealth by reinvesting annuity payouts into mutual funds
How This Strategy Works
This approach helps you grow wealth by reinvesting annuity payouts into mutual funds:
- You receive a fixed monthly annuity (pension, insurance payout, etc.).
- Instead of spending it, you systematically invest in mutual funds.
- Over time, compounding grows your corpus significantly.
- This strategy works best for long-term wealth creation.
Current Mutual Fund Returns (2024)
| Fund Type | Expected Returns | Risk Level |
|---|---|---|
| Large Cap Equity Funds | 10% – 12% p.a. | Moderate |
| Flexi Cap Funds | 12% – 15% p.a. | Moderately High |
| Aggressive Hybrid Funds | 9% – 12% p.a. | Medium |
| Debt Funds | 6% – 8% p.a. | Low |
Taxation Rules
- Equity Funds: 10% LTCG tax (after ₹1 lakh exemption)
- Debt Funds: 20% with indexation (LTCG)
- Short-term gains: Taxed as per income slab
How to Use Annuity + Mutual Fund Growth Calculator?
- Enter monthly annuity amount (e.g., ₹20,000).
- Set investment period (e.g., 10 years).
- Choose expected MF returns (e.g., 12% for equity funds).
- Adjust inflation rate (default: 6%).
- Select MF type (Equity/Hybrid/Debt).
- Add tax rate (as per your tax slab).
- Click "Calculate Growth" to see projections.
💡 Pro Tips:
- For long-term growth, choose equity funds (10-15% returns).
- For stability, opt for hybrid/debt funds (6-12% returns).
This calculator helps you make the most of your annuity income by reinvesting it wisely!