Investment Calculator
Estimate the future value and total return of an investment with annual contributions.
Inputs
Future Value
$541,363
Total Invested
$165,000
Total Gain
$376,363
Total Return
228.1%
Step by step
Growth factor over the investment period: (1 + r)ᵗ
(1 + 0.08)^25
= 6.8485
Future value of the initial lump sum: P × (1 + r)ᵗ
$15,000 × 6.8485
= $102,727
Future value of annual contributions: PMT × ((1 + r)ᵗ − 1) / r
$6,000 × ((6.8485 − 1) ÷ 0.08)
= $438,636
Total future value
$102,727 + $438,636
= $541,363
Total amount invested
$15,000 + $6,000 × 25 yr
= $165,000
Total return on investment
$541,363 − $165,000
= $376,363 (228.1%)
How it works
Your future value is the growth of your initial investment plus the future value of each annual contribution, compounded at your expected annual return. Total return compares your ending balance to everything you put in.
Formulas
Future value of lump sum
FV_P = P × (1 + r)ᵗ
- FV_P
- Future value of initial investment
- P
- Initial investment (principal)
- r
- Annual return rate (decimal)
- t
- Years invested
Future value of annual contributions
FV_C = PMT × ((1 + r)ᵗ − 1) / r
- FV_C
- Future value of all contributions
- PMT
- Annual contribution
Total return
Total Return % = (FV − Total Invested) / Total Invested × 100
- FV
- Total future value (FV_P + FV_C)
Guides that use this calculator
Projections are estimates only and not investment advice. Investments can lose value.
Frequently Asked Questions
What return rate should I use?
Historically, a diversified stock portfolio has averaged roughly 7–10% annually before inflation, but past performance never guarantees future results.
Does this account for taxes or fees?
No. Real returns are reduced by investment fees and taxes on gains, which vary by account type and jurisdiction.