Gold SIP Calculator

A gold SIP is a fixed monthly investment in gold through a gold ETF or a gold mutual fund, instead of buying jewellery, coins or bars. Each instalment buys units whose value tracks the domestic price of gold, so you build up gold gradually without worrying about purity, storage or making charges.

You can run one in two ways. A gold ETF trades on the stock exchange, so you need a demat and trading account and buy units through your broker, often with a SIP feature. A gold fund of funds is a regular mutual fund that invests in a gold ETF; you can start a normal SIP with no demat account, but you pay its fee on top of the ETF’s. See how to invest in a gold ETF for the step-by-step.

Illustrative: a ₹5,000 monthly SIP for 10 years in a gold ETF with a 0.5% expense ratio, assuming gold rises 10% a year, for someone in the 30% slab who sells everything at the end. These are the default inputs.

The 0.5% fee turns a 10% gold return into 9.45%, which costs about ₹28,900 over the 10 years. Tax takes another ₹49,744. Almost all of it is 12.5% on long-term gains; only the last 12 instalments are still short-term and taxed at your slab.

Use this to compare funds. Enter the expense ratio from each factsheet, and switch to the gold fund option to see the effect of its 24-month long-term rule.

For units sold on or after 1 April 2025:

• Gold ETFs held more than 12 months: 12.5% on the gain, without indexation. Held 12 months or less: taxed at your income slab rate.
• Gold funds of funds need more than 24 months for the 12.5% rate; before that, gains are taxed at your slab rate.
• The ₹1.25 lakh yearly long-term gains exemption applies only to equity, not to gold.
• 4% health and education cess is added to the tax.

In a SIP, each instalment has its own holding period. If you sell after 5 years, the first four years’ instalments are long-term but the last year’s (or last two years’ for a fund of funds) are still short-term. The calculator splits your gains this way.

Gold is volatile. It can rise fast and fall hard: gold prices fell about 22% between late January and late March 2026. A SIP spreads your buying across those swings, but it doesn’t remove them.

Fees add up. Gold ETFs return roughly the same before costs, since they all track the gold price. The expense ratio is the main difference between funds, and the calculator shows what it costs you in rupees.

Decide your gold share in advance. Gold works best as a diversifier alongside equity and debt, not as your main investment, so fix the share you want before you start. To compare gold ETFs with physical and digital gold, use the gold investment comparator. To check what an existing gold SIP has returned, use the XIRR calculator.