Investment Calculator
Calculate investment returns, growth, and future value with compound interest. Analyze lump sum investments, SIP, or recurring deposits with inflation adjustment and tax implications.
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Investment Details
$
One-time starting amount
$
Additional investment each month
years
% per year
Stock market average: 8-10%
Investment Growth
Future Value
$113,669.42
After 10 years
Total Contributions
$70,000.00
Investment Gains
$43,669.42
Return on Investment
62.4%
Investment Breakdown
Initial Investment:$10,000.00
Monthly Contributions (10 years):+$60,000.00
Total Invested:$70,000.00
Investment Growth (8%):+$43,669.42
Final Balance:$113,669.42
Wealth Multiplier: Your money will grow to 1.62x your contributions through compound growth.
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How to Use the Investment Calculator
Enter your starting investment amount, planned monthly contributions, investment timeline, and expected return rate. The calculator projects your future balance including compound growth.
Investment Growth Formula
This calculator uses the compound interest formula with recurring contributions:
FV = P(1 + r/n)^(nt) + PMT × [((1 + r/n)^(nt) - 1) / (r/n)]
Where: FV = future value, P = principal, PMT = monthly payment, r = rate, n = compound frequency, t = time
Historical Market Returns
| Investment Type | Avg Annual Return | Risk Level |
|---|---|---|
| S&P 500 Index | 10-11% | Medium-High |
| Total Stock Market | 9-10% | Medium-High |
| Balanced Portfolio (60/40) | 7-8% | Medium |
| Corporate Bonds | 5-6% | Low-Medium |
| Treasury Bonds | 3-4% | Low |
| Savings Account | 0.5-4% | None |
Power of Consistent Investing
Example: $500/month at 8% return
- After 10 years: $91,500 (contributed $60K, gained $31.5K)
- After 20 years: $294,500 (contributed $120K, gained $174.5K)
- After 30 years: $745,000 (contributed $180K, gained $565K)
Investment Strategies by Age
- 20s-30s: Aggressive (80-100% stocks) - maximize growth potential
- 40s: Moderate-Aggressive (70-80% stocks) - balance growth and stability
- 50s: Balanced (60% stocks, 40% bonds) - reduce volatility risk
- 60s+: Conservative (40% stocks, 60% bonds) - preserve capital
Investment Account Types
- 401(k)/403(b): Employer retirement accounts with tax benefits and often matching
- IRA/Roth IRA: Individual retirement accounts with $6,500 annual limit (2024)
- Brokerage Account: Taxable account with no contribution limits or withdrawal penalties
- 529 Plan: Tax-advantaged education savings
- HSA: Health Savings Account (triple tax advantage for healthcare)
Smart Investment Tips
- Start early - even $100/month makes a huge difference over decades
- Automate contributions - pay yourself first
- Maximize employer match - it's free money (100% return!)
- Choose low-cost index funds (expense ratios under 0.2%)
- Diversify across different asset classes and geographies
- Rebalance annually to maintain target allocation
- Stay invested during downturns - don't panic sell
- Increase contributions when you get raises
Warning: This calculator provides estimates. Actual returns vary with market performance, fees, and taxes. Consider consulting a financial advisor for personalized guidance.
Frequently Asked Questions
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