Calculator
STP calculator
Systematic Transfer Plan (STP): park the lumpsum in debt, drip it into equity, and model the combined end value.
- Left in debt₹47.5k
- Moved to equity (grown)₹12.68 L
- Combined value₹13.16 L
Hover the chart for the monthly breakup.
STP staggers lumpsum entry into equity. Each transfer is a taxable redemption from the debt fund — factor exit loads and gains tax.
What this calculator answers
Transferring ₹1,00,000 a month from ₹12,00,000 parked in a debt fund at 7% into an equity fund at 12% for 12 months leaves about ₹47,490 in the debt fund, about ₹12,68,250 in equity and a total of about ₹13,15,740. Enter the parked amount, the transfer and both returns to see the path.
How it is calculated
Both funds grow at one-twelfth of their annual rate each month, and the transfer moves from debt to equity at the end of each month, capped at whatever balance remains in the debt fund.
Both rates are fixed for the whole period, and neither exit load nor tax on the debt-fund transfer is modelled.
Common questions
Why transfer in instalments instead of one lumpsum?
An STP spreads the entry price across months, which reduces the risk of investing everything just before a fall. The trade-off is that money waiting in the debt fund earns the lower debt return.
What happens if the transfer is larger than the debt balance?
The transfer is capped at what is left, so the final instalment is smaller and the debt fund cannot go negative.
Are taxes on STP transfers shown?
No. Moving money out of a debt fund can create a taxable gain and exit loads may apply — neither is included in this projection.
Source & freshness
- Source
- Deterministic formula in lib/calculators.ts
- Timeliness
- Static-verified
- Method
- calculated
- Note
- Illustrative projection from your inputs — not a market quote.