Investment Growth Calculator (USA)

Use our Investment Growth Calculator to estimate how your investments will grow over time based on your contributions, interest rate, and investment duration.

Investment Information
$
$
% p.a.
Yrs
Mos
%
$
%
%
%

About Investment Growth in USA

Retirement Account Types
  • 401(k): Employer-sponsored plan with potential matching contributions. 2023 contribution limit: $22,500 ($30,000 if 50+).
  • Traditional IRA: Tax-deductible contributions, taxed at withdrawal. 2023 limit: $6,500 ($7,500 if 50+).
  • Roth IRA: After-tax contributions, tax-free withdrawals. Income limits apply.
  • SEP IRA: For self-employed individuals, higher contribution limits.
Tax Considerations

Traditional Accounts (401k, Traditional IRA): Contributions reduce taxable income now, but withdrawals are taxed as ordinary income.

Roth Accounts: No tax deduction now, but qualified withdrawals are tax-free.

Taxable Accounts: Capital gains tax applies (0%, 15%, or 20% depending on income).

Compound growth is calculated using the formula:

FV = P × (1 + r/n)^(n×t) + C × [((1 + r/n)^(n×t) - 1) / (r/n)]

Where:

  • FV = Future Value
  • P = Initial investment
  • C = Recurring contribution
  • r = Annual interest rate (in decimal)
  • n = Number of compounding periods per year
  • t = Time in years

Investment 10-Yr CAGR Tax Efficiency Risk Level Best For
S&P 500 Index Fund 10-12% High in retirement accounts Moderate Core portfolio holding
Total Bond Market 3-5% Better in tax-deferred Low Risk reduction
REITs 7-9% Best in retirement accounts Moderate Diversification
Target Date Funds Varies Depends on account type Varies Hands-off investors
High-Yield Savings 1-3% Taxable as income Very Low Emergency funds
Past performance is not indicative of future returns. Returns are pre-tax except for Roth accounts.
Pro Tips for US Investors
  • Maximize employer 401(k) match - it's free money!
  • Consider Roth options if you expect higher taxes in retirement
  • Use index funds for low-cost, diversified exposure
  • Rebalance portfolio annually to maintain target allocation
  • Take advantage of tax-loss harvesting in taxable accounts
Advertisement

Ad Space (728x90)

Historical Returns in USA
Investment 10-Yr CAGR
S&P 500 Index 10-12%
Total Bond Market 3-5%
Real Estate (REITs) 7-9%
Gold 5-7%
Savings Account 0.5-2%
Historical averages since 1926. Actual returns vary by period.
US Retirement Planning
$
2023 Contribution Limits
  • 401(k) $22,500
  • IRA (Traditional/Roth) $6,500
  • Catch-up (50+) +$7,500/$1,000
  • HSA $3,850/$7,750
401(k) limit includes employer match. IRA limits are combined for Traditional and Roth.