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Lumpsum Investment Plan Calculator Online

Project the corpus from a one-time (lumpsum) investment with support for compounding frequency, inflation-adjusted purchasing power, and goal-seek to find the required CAGR for a target amount. Built for planners and serious DIY investors. (Also optimized for the SEO keyphrase slumpsum calculator.)

Author: Ugo Candido Reviewed by: Finance Content Editor Last updated: Category: Finance → Investment
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Determines the per-period rate from the annual CAGR.

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We display purchasing-power (real) results alongside nominal.

Check to compute the annual return needed to reach your target.

Results

Future value (nominal) $0.00
Total gain (nominal) $0.00
Future value (real, inflation-adjusted) $0.00
Per-period rate —
Compounding: 12/yr Years: — Inflation: 0% Principal: —

Sensitivity (Future value vs annual return)

Annual return Future value

Data Source and Methodology

  • Regulatory alignment: SEBI calculators & guidance (e.g., SEBI Calculators, SIP example) use standard time-value-of-money projections for investor education. All calculations strictly follow these formulas and data conventions.
  • Industry parity: Major Indian investor resources (e.g., MutualFundsSahiHai Lumpsum, SBI Securities Lumpsum) compute FV from a one-time principal, a return assumption, and a tenure.
  • Core formula reference: Future Value identity \(FV = PV\,(1+r)^n\) as established in standard finance texts and practitioner references (e.g., Investopedia’s Future Value explainer). All calculations strictly follow the formulas and data provided by this source.

The Formula Explained

Per-period rate from annual CAGR \(r\) and compounding frequency \(m\):

\[ i = (1+r)^{1/m} - 1 \]

Future value of a lumpsum compounded for \(N\) periods:

\[ FV = P\,(1+i)^{N}, \quad N = m\cdot T \]

Inflation-adjusted (real) future value using annual inflation \(\pi\) and years \(T\):

\[ FV_{\text{real}} = \frac{FV}{(1+\pi)^{T}} \]

Required CAGR for a target corpus (Goal-Seek):

\[ r = \left(\left(\frac{FV_{\text{target}}}{P}\right)^{\tfrac{1}{N}} - 1\right)^{m} - 1 \]

For robustness with different compounding bases, the tool also solves numerically.

Glossary of Variables

Symbol / FieldMeaning
\(P\) (Principal)Initial one-time investment amount.
\(m\) (Compounding frequency)Compounds per year (1, 4, 12, 365).
\(r\) (Annual return)Expected annual compound return (CAGR), decimal.
\(i\) (Per-period rate)\(i=(1+r)^{1/m}-1\).
\(T\) (Years)Investment horizon in years; \(N=m\cdot T\).
\(\pi\) (Inflation)Annual inflation rate used to compute real value.

How It Works: A Step-by-Step Example

Inputs: \(P=\$10{,}000\); \(r=12\%\) annually; \(T=10\) years; monthly compounding (\(m=12\)); inflation \(\pi=4\%\).

  1. Per-period rate \(i=(1+0.12)^{1/12}-1\approx 0.009488\) (0.9488% per month).
  2. Total periods \(N=120\).
  3. Nominal future value \(FV=10{,}000\cdot(1+i)^{120}\approx \$31{,}058\).
  4. Real (purchasing-power) value \(FV_{\text{real}}=FV/(1+0.04)^{10}\approx FV/1.4802\approx \$20{,}986\).

Frequently Asked Questions (FAQ)

Is monthly compounding always better than annual?

Higher compounding frequency slightly increases the corpus for the same annual CAGR, but differences narrow at modest rates and horizons.

How accurate is the projection?

It’s a mathematical projection assuming constant returns and inflation. Markets vary; treat results as estimates.

Can I compare nominal and real outcomes?

Yes—this tool shows both nominal FV and inflation-adjusted (real) FV for purchasing power context.

Does the calculator include taxes and fees?

No. Results are pre-tax and exclude fund expenses.

What if I need exactly \$X after Y years?

Enable Goal-Seek and enter your target \(FV\); the tool solves for the required annual CAGR.

Authorship: Tool developed by Ugo Candido. Content reviewed by Finance Content Editor. Last accuracy review: .