Mutual Fund Returns Calculator

How the mutual fund returns calculator works

Pick a style and the tool does the rest. For a SIP it adds your monthly amount at the start of each month and grows the running balance at the net monthly return. For a lump sum it invests the whole amount on day one and compounds it forward. Either way it subtracts the expense ratio from your expected return first, so fees are baked in.

The chart shows two lines: the rising value of your holdings and the flat or stepped line of money you actually invested. The widening gap between them is your estimated gain, the part of the final balance that came from growth rather than your own contributions.

A worked example

Invest $500 a month for 15 years at a 12% expected return with a 0.6% expense ratio. The net return works out to 11.4% a year, your own contributions total $90,000, and the projected value climbs well above that thanks to compounding. Switch to a lump sum and you can see how investing the same money earlier changes the outcome.

Things to keep in mind

Projections assume a steady return, but real funds swing year to year, so the final number is a planning estimate rather than a forecast. Lower-cost index funds tend to keep more of the market’s return in your pocket. For investing basics from a neutral source, see Investor.gov. To project a single deposit with no contributions, try our future value calculator.

Frequently asked questions