Investment Calculator
Calculate compound interest, compare investment scenarios, and plan your financial future with confidence
Investment Details
Advanced Options
Advanced Investment Growth Calculator
Plan your financial future with our comprehensive investment calculator
Our comprehensive investment calculator helps you visualize how your money can grow over time through the power of compound interest. Whether you're planning for retirement, saving for a major purchase, or building long-term wealth, this tool provides detailed projections and insights to guide your investment decisions.
Beyond basic calculations, our calculator includes advanced features like inflation adjustment, tax impact analysis, contribution increases, and scenario comparison. Use the retirement planning tab to ensure you're on track for a comfortable retirement based on your lifestyle goals.
Calculator Features
Core Calculations
- Compound interest calculations
- Multiple compounding frequencies
- Regular contribution scheduling
- Investment term flexibility
- Initial investment options
- Real-time result updates
Advanced Features
- Scenario comparison tool
- Retirement planning calculator
- Inflation impact analysis
- Tax consideration options
- Contribution increase planning
- Interactive growth charts
How to Use the Investment Calculator
- Enter Initial Investment: Start with your current savings or the amount you plan to invest initially.
- Set Monthly Contributions: Add the amount you'll invest regularly. Consistent investing accelerates growth through dollar-cost averaging.
- Choose Expected Return: Enter your expected annual return based on your investment strategy (conservative: 5-7%, moderate: 7-9%, aggressive: 9-12%).
- Select Investment Timeline: Choose how long you plan to invest. Longer periods maximize compound interest benefits.
- Add Advanced Options: Include inflation rate, tax considerations, and planned contribution increases for more accurate projections.
- Compare Scenarios: Save different scenarios to compare strategies and find the optimal investment plan for your goals.
Investment Strategies & Tips
Maximizing Your Returns
- •Start early - time is your greatest asset in compound growth
- •Increase contributions annually with salary raises
- •Diversify across asset classes to balance risk and return
- •Use tax-advantaged accounts (401k, IRA, HSA) when possible
- •Reinvest dividends and interest for maximum compounding
Retirement Planning Guide
The retirement planning tab helps you determine if you're saving enough for retirement. It calculates your retirement needs based on current expenses, expected inflation, and desired retirement lifestyle. The tool uses the 4% withdrawal rule as a baseline, suggesting you need approximately 25 times your annual expenses saved for a 30-year retirement.
Key Retirement Metrics
- • Target retirement savings amount
- • Required monthly contributions
- • Projected retirement income
- • Inflation-adjusted expenses
Retirement Accounts
- • 401(k) - Employer matching
- • Traditional IRA - Tax deferred
- • Roth IRA - Tax-free growth
- • HSA - Triple tax advantage
Frequently Asked Questions
How does compound interest work in investments?
Compound interest means you earn returns not just on your initial investment, but also on the accumulated interest from previous periods. This creates exponential growth over time. The more frequently interest compounds (daily, monthly, annually), the faster your investment grows.
What is a realistic annual return for investments?
Historical averages vary by investment type: Stock market (S&P 500) averages 10% annually, bonds average 5-6%, and savings accounts typically offer 1-3%. Your actual returns depend on your investment mix, market conditions, and time horizon. Diversification helps balance risk and return.
How much should I save for retirement?
A common rule suggests saving 10-15% of your income for retirement. The "4% rule" indicates you need about 25 times your annual expenses saved to retire comfortably. Our retirement planner helps you calculate specific needs based on your age, lifestyle, and goals.
What is the impact of inflation on investments?
Inflation reduces the purchasing power of money over time. If inflation is 3% annually, $100 today will only buy $97 worth of goods next year. Our calculator shows "real returns" adjusted for inflation to help you understand the true growth of your investments.
Should I increase my contributions over time?
Yes, increasing contributions as your income grows accelerates wealth building. Even small annual increases (3-5%) significantly impact long-term results. This strategy helps offset inflation and lifestyle creep while maximizing compound growth.
How do taxes affect investment returns?
Taxes can significantly impact returns. Long-term capital gains are typically taxed at lower rates than short-term gains. Tax-advantaged accounts like 401(k)s and IRAs help defer or eliminate taxes. Our calculator includes tax rate options to show after-tax values.