Investment Returns
There is more to investing than knowing your annual rate of return. Use this calculator to help you see how inflation, taxes and your time horizon can impact your bottom line.
How the investment returns calculator works
It grows your initial investment plus monthly contributions at your expected return, then splits the ending value into what you contributed and what the market added, and expresses the gain as a total return.
Worked example: with initial investment of $10,000, monthly contribution of $500 and annual return of 8.00%, the investment returns calculator shows value in 20 years of $343,778.
- Total invested
- $130,000
- Market returns
- $213,778
- Ending value
- $343,778
- Total return
- 164%
The formula
Each month the balance compounds at the periodic return and a contribution is added; total return = (ending value − contributions) ÷ contributions.
Results are estimates for educational purposes and are not financial advice. Confirm exact figures with your lender, plan administrator or advisor.
Questions about the investment returns
What return should I expect from investing?
It depends on your mix. A diversified stock-heavy portfolio has historically averaged mid-to-high single digits a year over the long run, though with significant ups and downs.
How much of my balance comes from returns?
Early on, mostly your contributions; over time, compounding takes over. The longer you stay invested, the larger the share that comes from market growth rather than deposits.
Does this account for taxes and fees?
No — it shows gross growth. Fees and taxes reduce real returns, so model them separately with our fee-comparison and tax calculators when comparing options.
Is the Investment Returns free to use?
Yes. Every calculator on FinCalculators is completely free, with no sign-up, login or paywall. You can run as many scenarios as you like.