Investing your money in stocks, bonds, and other assets is a good way to grow your wealth over time. But how do you know how much your investments will grow? That's where an investment growth calculator comes in handy. With this tool, you can estimate how much your money will grow based on your initial investment, planned contributions, and other factors. In this article, we'll explain how investment growth calculators work and how you can use them to plan your financial future.
See how your savings and investment account balances can grow with the magic of compound interest. Simply put, it's the money your balance earns on top of the interest you've already earned. This can add up to significant gains over time. For example, if you invest $1,000 with a 5% annual interest rate, you'll earn $50 in interest the first year. But if you reinvest that $50 and earn another 5% interest the next year, you'll earn $52.50 in interest. Over time, this compounding effect can help your investments grow significantly.
The rule of 70, also known as doubling time, calculates the years it takes for an investment to double in value. The calculation is commonly used to estimate how long it will take for an investment to grow at a certain rate. To use the rule of 70, divide 70 by the annual rate of return. For example, if your investment is expected to grow at a rate of 7% per year, it will take approximately 10 years to double in value (70 ÷ 7 = 10).
Compound interest is when the interest you earn on a balance in a savings or investing account is reinvested, earning you more interest. This can lead to significant gains over time, especially if you're able to reinvest your earnings and let them compound over a long period of time. To see how much your money can grow with compound interest, use an investment growth calculator like the one offered by Acorns.
Use the Acorns compound interest calculator to see how your money could potentially grow over time with the power of compounding. To use the calculator, input your initial investment, annual contribution, expected rate of return, and the number of years you plan to invest. The calculator will then show you how much your investment could be worth in the future.
Wondering how much your investments will grow over time? Use MarketBeat's free investment calculator to see the growth that you can get on your investments. With this calculator, you can input your initial investment, annual contribution, expected rate of return, and the number of years you plan to invest. The calculator will then show you how much your investment could be worth in the future, as well as how much you'll need to invest to reach your financial goals.
Investors use rate of return to understand the earnings or losses on an investment in a specified period of time. Learn more about how it's calculated and how you can use it to evaluate your investments. Rate of return is calculated by dividing the total earnings or losses on an investment by the initial investment amount. For example, if you invest $1,000 and earn $100 in returns, your rate of return is 10% ($100 ÷ $1,000 = 0.10 or 10%).
Watch your money grow—or calculate how much money you will owe in total—with the MoneySense compound interest calculator. This calculator can help you estimate how much your investments will grow over time, based on your initial investment, annual contributions, expected rate of return, and the number of years you plan to invest.
Meeting your investment goal is dependent on many factors. Use our ROI calculator to determine your return considering time horizon, initial investment, and rate of return. ROI, or return on investment, is a measure of how much money you've earned (or lost) on an investment, expressed as a percentage of the initial investment. For example, if you invest $1,000 and earn $100 in returns, your ROI is 10% ($100 ÷ $1,000 x 100 = 10%).