Make the numbers
mean something.
Change the assumptions. Compare two fee scenarios. See how time and regular contributions shape the same starting amount.
Your assumptions
Example values, not recommended returns or actual product fees. Your inputs are not saved.
Small differences. Longer horizons.
Scenario A ends $12,457 ahead in this illustration.
| Year | Contributed | Scenario A | Scenario B |
|---|---|---|---|
| 0 | $10,000 | $10,000 | $10,000 |
| 1 | $13,000 | $13,544 | $13,449 |
| 2 | $16,000 | $17,258 | $17,034 |
| 3 | $19,000 | $21,150 | $20,761 |
| 4 | $22,000 | $25,229 | $24,635 |
| 5 | $25,000 | $29,503 | $28,662 |
| 6 | $28,000 | $33,981 | $32,848 |
| 7 | $31,000 | $38,674 | $37,199 |
| 8 | $34,000 | $43,592 | $41,723 |
| 9 | $37,000 | $48,745 | $46,425 |
| 10 | $40,000 | $54,145 | $51,312 |
| 11 | $43,000 | $59,804 | $56,393 |
| 12 | $46,000 | $65,734 | $61,675 |
| 13 | $49,000 | $71,948 | $67,165 |
| 14 | $52,000 | $78,460 | $72,872 |
| 15 | $55,000 | $85,283 | $78,804 |
| 16 | $58,000 | $92,434 | $84,971 |
| 17 | $61,000 | $99,927 | $91,381 |
| 18 | $64,000 | $107,778 | $98,044 |
| 19 | $67,000 | $116,006 | $104,971 |
| 20 | $70,000 | $124,628 | $112,171 |
Understand the illustration
We convert your assumed effective annual return and annual asset-based fee into a constant monthly factor: ((1 + return) × (1 − fee)) raised to 1/12. Each month, the balance is multiplied by that factor, then your contribution is added at month-end. Calculations retain full precision; displayed values are rounded.
This is a mathematical illustration, not a forecast. Real returns vary and investments can lose value. Taxes, inflation, trading costs, and changes in contributions are excluded. All amounts are shown in USD; no currency conversion is performed.
Educational context: Investor.gov’s compound interest calculator ↗. Our fee scenarios use the explicit model above.