SIP-top up facility: What is it and how does it work? Should you opt for it?

SIP-top up facility: Investing via Systematic Investment Plan is considered to be one of the best ways to amass wealth keeping in view long-term horizon. Amit Gupta, MD, SAG Infotech said an investor can raise his or her monthly payment to an ongoing SIP by using a top-up service. SIP-top up also known as SIP Booster or SIP step-up option "Some fund companies refer to it as top-up, while others refer to it as SIP Booster or SIP step-up option. Most well-known investment firms provide this service to investors," said Amit Gupta, Difference between normal SIP and SIP-top up Manoj Kumar Dalmia, Founder and Director, Proficient equities Private limited said that in case of normal SIP's, investors are not given the choice to increase their contribution. Why do financial experts recommend SIP-top up facility According to Amit Gupta, financial experts advise investors to use a top-up facility since it automatically compensates for inflation and handles revenue increases such as an annual salary raise.