Lumpsum Calculator
See how a one-time investment grows over time at a given annual return (CAGR), and how much of the final value is your principal versus compounded gains.
About the Lumpsum Calculator
A lumpsum investment puts a single amount to work for the full period, compounding annually: FV = P × (1 + r)^t. Because there are no further contributions, the entire growth comes from compounding — which is why time horizon has such a large effect on the final value.
Frequently asked questions
- What is the difference between lumpsum and SIP?
- A lumpsum invests one amount upfront, while a SIP spreads investments across many months. Lumpsum benefits more from a long horizon and a strong entry point; SIP averages your purchase cost over time.
- What return should I assume?
- Use a realistic long-term estimate for your asset class — for diversified equity funds many investors model 10–12% CAGR — and remember actual returns vary and are not guaranteed.