Investment Calculator

The Investment Calculator projects the future value of your investments based on initial deposit, regular contributions, expected rate of return, and investment period. It helps you visualize how consistent investing builds wealth over time through the power of compounding.

How the Formula Works

FV = PV × (1+r)^n + PMT × [((1+r)^n − 1) ÷ r], where FV = future value, PV = initial investment, PMT = periodic contribution, r = periodic rate, n = number of periods.

How to Use This Calculator

  1. Enter your initial investment amount
  2. Enter regular contribution amount and frequency
  3. Enter the expected annual return rate
  4. Enter the investment time horizon
  5. View projected growth with detailed breakdown

Tips & Best Practices

  • Dollar-cost averaging (investing a fixed amount regularly) reduces the impact of market volatility
  • Reinvest dividends to maximize compound growth
  • Low-cost index funds historically outperform most actively managed funds after fees
  • A 1% annual fee difference can cost you hundreds of thousands over a 30-year period

Important Limitations

  • Assumes constant rate of return — actual markets are volatile
  • Does not account for taxes on gains, dividends, or withdrawals
  • Does not factor in investment fees or expense ratios
  • Past performance does not guarantee future results
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