Unlock your financial potential with our free Investment Calculator. Easily project your future investment value, including the power of compound interest and regular contributions. Whether you're planning for retirement, saving for a down payment, or simply curious about wealth growth, this tool helps you visualize your financial future. Start making smarter investment decisions today!
Formula:
This Investment Calculator determines the Future Value (FV) of your investments by combining two main components: the future value of an initial lump sum and the future value of regular monthly contributions.
1. Future Value of Initial Lump Sum (FV_LumpSum):
FV_LumpSum = P(1 + r/n)nt
2. Future Value of Monthly Contributions (FV_Annuity):
FV_Annuity = PMT * [((1 + r/12)12t - 1) / (r/12)]
Total Future Value (FV) = FV_LumpSum + FV_Annuity
Where:
- P = Initial Principal Investment
- PMT = Monthly Contribution Amount
- r = Annual Interest Rate (decimal)
- n = Number of times initial lump sum interest is compounded per year (e.g., 1 for annually, 12 for monthly)
- t = Number of Years the money is invested for