💹 Investment Return Calculator

How Investment Returns Work

Investment returns represent the profit or loss generated by an investment over time. This calculator projects future value using compound growth, factoring in both your initial investment and regular monthly contributions. The power of consistent investing combined with compound growth can transform modest contributions into substantial wealth over time.

The Impact of Time

Starting early is one of the most powerful advantages in investing. Even small monthly contributions can grow significantly over decades thanks to compound returns. For example, investing $500/month at 8% annual return for 30 years yields over $700,000 — of which only $180,000 is your contributions.

Understanding Expected Returns

• Conservative (4-6%): Bonds, savings accounts, CDs
• Moderate (7-9%): Diversified stock portfolio (historical S&P 500 average ~10%)
• Aggressive (10%+): Growth stocks, real estate, higher-risk investments