Investment Return Calculator - CAGR, SIP & Real Returns
Project a lump sum or a monthly investing plan, or measure the return you actually earned — with CAGR, total return and an inflation-adjusted view in today's money.
Used to show what your money will be worth in today's purchasing power.
Projections assume a steady rate of return. Actual markets move up and down, and fees, taxes, currency moves and withdrawal timing all change the outcome. This is not investment advice.
What is an Investment Return Calculator?
This calculator answers three different questions with three different modes. Forwards, it projects what a one-time investment or a monthly investing plan could grow into. Backwards, it measures what an investment you already hold has actually returned. And in every mode it shows the result in today's purchasing power, because a large future number means nothing without knowing what it will buy.
CAGR: The Only Fair Comparison
Total return tells you how much you gained. It does not tell you whether that was good — a 60% gain is excellent over three years and mediocre over fifteen. Compound annual growth rate smooths the whole journey into one annual figure so investments held for different periods become comparable:
CAGR = (End ÷ Start)1 ÷ Years − 1
- Lump-sum projection with total gain and growth multiple
- Monthly investing (SIP) projection with an optional annual step-up
- Measure mode: total return and CAGR from real start and end values
- Real (inflation-adjusted) returns in every mode
- Year-by-year table showing invested capital against gains
- 20 currencies supported
Lump Sum vs Monthly Investing
A lump sum has the whole period to compound, so mathematically it wins when returns are positive throughout. Monthly investing — a systematic investment plan, or SIP — spreads your entry price across market highs and lows, which lowers the risk of investing everything at a peak and matches how most people actually accumulate money: out of monthly income.
The step-up option is worth experimenting with. Raising your monthly contribution by even 5% a year, in line with salary growth, changes long-run outcomes far more than most people expect — because each increase still has years left to compound.
Common Use Cases
Portfolio Projection
Estimate where a long-term portfolio could land.
Monthly Investing
Model a SIP with or without annual step-ups.
Past Performance
Work out the CAGR of an investment you already hold.
Comparing Options
Put a 3-year and a 10-year holding on the same footing.
Beating Inflation
Check whether your real return is actually positive.
Goal Setting
Find the monthly amount that reaches your target.
How to Use the Calculator
- Choose a mode: one-time investment, monthly investing, or measure my return.
- Set your currency and an inflation assumption.
- Enter the amounts, expected return and time period.
- For monthly investing, add an annual step-up if your contributions will grow.
- Read the maturity value, gain, CAGR and value in today's money.
Nominal vs Real Returns
A 9% return with 3% inflation is not a 6% real return — it is 5.83%, because the correct adjustment is multiplicative:
Real return = ((1 + Nominal) ÷ (1 + Inflation)) − 1
The difference looks trivial over one year and compounds into something substantial over twenty. This is also why holding cash during a period of high inflation is a guaranteed real loss even when the nominal balance never falls.
Choosing a Realistic Return Assumption
Optimistic assumptions are the single biggest source of error in long-range projections. A projection at 15% is not a plan, it is a hope. Use a conservative, historically grounded figure for your actual asset mix, and run a pessimistic scenario alongside your base case — if the plan only works at the optimistic rate, it is not a plan.
Remember too that the projection excludes fees and taxes. A 1.5% annual management fee on a 9% gross return removes roughly a sixth of your compounding power over the long run.
Who This Calculator Is For
- Long-term investors planning contributions
- SIP and mutual fund investors
- Anyone checking the real return on an existing holding
- Savers comparing investing against cash
- Finance students learning CAGR and real returns
- Advisers preparing client scenarios
❓ Frequently Asked Questions
What is CAGR?
Compound annual growth rate is the smoothed yearly rate that takes an investment from its starting value to its ending value: (End ÷ Start)^(1 ÷ Years) − 1.
How is CAGR different from total return?
Total return is the whole gain expressed as a percentage of what you put in. CAGR spreads that gain across the holding period so you can compare investments held for different lengths of time.
What is a SIP?
A systematic investment plan means investing a fixed amount at regular intervals — usually monthly. It spreads your entry price across market highs and lows.
What does the annual step-up option do?
It increases your monthly contribution by a set percentage every year, which models raising your savings as your income grows. Even a 5% step-up materially changes the final value over 15 years.
What is a real return?
A real return is the return after inflation: (1 + nominal) ÷ (1 + inflation) − 1. A 9% return with 3% inflation is a real return of about 5.83%.
Why does the calculator show value in today's money?
Because a large future number can be misleading. Discounting it back at your inflation assumption shows what that amount would actually buy at today's prices.
Does it account for fees and taxes?
No. Management fees, transaction costs, and any tax on dividends or capital gains all reduce real outcomes and vary by product and country.
What return rate should I assume?
Use a conservative, historically grounded figure for your asset mix rather than a recent peak. Optimistic assumptions are the single biggest source of error in long-range projections.
Can I calculate returns on an investment I already hold?
Yes. Use the 'Measure my return' mode with your starting value, current value and years held to get both total return and CAGR.
Is this investment advice?
No. This is a calculation tool for general information only. Markets fluctuate and past returns do not predict future ones — speak to a licensed adviser about your own situation.