Investment Calculator

Calculate compound growth, plan for retirement, and analyze investment returns. Harness the power of compound interest for your financial future.

Investment Details

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$
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years

Investment Types

Conservative Portfolio4-6%
Bonds, CDs, Treasury BillsLow Risk
Balanced Portfolio6-8%
60% Stocks, 40% BondsMedium Risk
Growth Portfolio8-10%
80% Stocks, 20% BondsHigh Risk
Aggressive Growth10-12%
Individual Stocks, Growth FundsVery High Risk

Investment Calculator Guide

How Compound Interest Works

Compound interest is ”interest on interest” - you earn returns not just on your initial investment, but also on all the interest you”ve accumulated over time. This creates exponential growth that becomes more powerful the longer you invest.

Investment Strategies

  • Dollar Cost Averaging: Invest fixed amounts regularly
  • Diversification: Spread risk across asset classes
  • Long-term Focus: Time in market beats timing the market
  • Regular Reviews: Adjust strategy as goals change

Key Investment Principles

Start Early: Even small amounts grow significantly over time
Be Consistent: Regular contributions maximize compound growth
Stay Patient: Avoid emotional decisions during market volatility
Minimize Fees: High fees can erode long-term returns
Consider Taxes: Use tax-advantaged accounts when possible

Common Mistakes

  • • Waiting for the ”perfect” time to start
  • • Trying to time the market
  • • Panic selling during downturns
  • • Not diversifying investments
  • • Ignoring inflation impact

The Power of Starting Early

Investor A (Age 25-35)

  • • Invests $2,000/year for 10 years
  • • Total contributions: $20,000
  • • Value at 65: ~$314,000
  • • 8% annual return assumed

Investor B (Age 35-65)

  • • Invests $2,000/year for 30 years
  • • Total contributions: $60,000
  • • Value at 65: ~$245,000
  • • Same 8% annual return

Starting early beats contributing more later!