What is a lump sum calculator?
A lump sum calculator shows how much a one-time investment can grow to at a fixed yearly return. Enter the amount, the expected return and the number of years to see the future value and the estimated gain.
How to use it
- Enter the amount you will invest once.
- Set the expected yearly return.
- Choose how many years you will stay invested.
Formula
FV = P × (1 + r)^t
- P is the amount invested.
- r is the yearly rate of return (as a decimal).
- t is the number of years.
Example
₹1 lakh invested once for 10 years at 12% a year can grow to about ₹3.1 lakh, a gain of about ₹2.1 lakh.
Frequently asked questions
When is a lump sum better than a SIP?
A lump sum puts all your money to work at once, which helps when markets rise. If you worry about investing at a high point, you can spread the amount over a few months instead.
Does the calculator include tax?
No. It shows growth before tax. Use the capital gains tax calculator to estimate tax when you sell.
More free calculators
- SIP calculator
- Goal planner
- Retirement calculator
- EMI calculator
- Capital gains tax calculator
- Risk profiler
Results are estimates for planning only and are not investment advice.