SIP vs Panic Selling
Education-only simulator to visualize the post-tax cost of stopping SIPs during drawdowns. It’s not a forecast.
1) Set your plan
Monthly SIP + time horizon
2) Pick a crash
2008 / 2020 / 2022-style preset
3) Compare behavior
Discipline vs panic rules (post-tax)
Go deeper
Want to run these scenarios with your own numbers? Export and keep the results.
SIP vs Panic Selling Scenario Workbook (Excel + PDF) →Educational content only — not investment advice.
SIP vs Panic Selling•Education-only simulator
⚠️ Educational tool for learning only — not investment advice. Past performance ≠ future results. Consult your financial advisor before investing.
Which one describes you best?
Start simple, then open more detail if you want.
💡 Not sure? Learning Mode is the default and works for most people.
What Happens If You Stop SIP During a Market Crash?
Compare calm investing vs panic-selling, and see the post-tax cost — month by month.
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Step 2 of 4Set your SIP
LEARNING MODE
A guided crash decision, with real numbers
You’ll face a simulated ~35% crash around Year ~2.5. Choose your behavior and see the estimated cost.
Primary Truth
You could lose ₹5.37L
Same market path. Different behavior.
Stopping your SIP around a ~30% drawdown cuts off the crash buying window and the recovery compounding.
What this loss could have bought
🏠
1 homes in a tier-2 city
🚗
1 luxury family cars
✈️
1 international vacations
🎓
1 years of premium education
Illustrative comparisons to build intuition (not actual prices).
Education-only. Simplified market + tax model.
▶📊 Assumptions used in this simulation(education-only)
📉 Crash / Recovery Path
Crash: 35% over ~6 months starting ~Month 30 (≈ Year 2.5). Recovery: +45% over ~12 months. Secondary correction: 20% over ~3 months around Month 78.
⚠️ Panic Rule
Stops SIP contributions once the market is ~30% down from the last peak (a drawdown trigger). After stopping, contributions are modeled as going to cash at ~6% annual.
🧾 Tax (Simplified)
Equity MF style, conservative gains tax approximation (30% on gains) + 4% cess; no surcharge in Beginner mode. This is a teaching model and may differ from your actual taxes.
💡 Want to change crash presets, tax profile, or see month-by-month charts? Use Advanced Mode.
How much & how long?
Optional — adjust to match your situation.
/mo
Total invested: ₹12,00,000
10 years
1 year30 years
Quick scenarios
Your results (after tax)
✅ If you stay calm & keep investing
₹21.29L
Final wealth estimate
⚠️ If you stop sip (fear takes over)
₹15.92L
Final wealth estimate
Difference
₹5.37L
You could lose: ₹5.37L (25%)
Why does panic cost so much?
- ✓ During crashes, prices are low — continuing SIP buys more units.
- ✓ When markets recover, those extra units compound your recovery gains.
- ✗ Stopping SIP cuts off the cheapest buying period and the rebound.