How this calculator works
CAGR finds the constant annual rate that would turn the beginning value into the ending value over the specified number of years.
Formula and methodology
CAGR = (Ending Value ÷ Beginning Value)^(1 ÷ Years) − 1
Values are calculated with full JavaScript numeric precision and rounded only for display.
Example calculation
A value that grows from $10,000 to $20,000 over 10 years has a CAGR of about 7.18%.
Understanding your results
Use the output to compare scenarios under consistent assumptions. It is most useful as a planning range: change the return, contribution, or duration and observe how sensitive the estimate is.
Key assumptions and limitations
- Beginning value must be above zero.
- CAGR smooths volatility and is not an actual year-by-year path.
- Cash flows during the period are not included.
CAGR Calculator FAQs
What does this CAGR calculator show?
It turns the assumptions you enter into a hypothetical estimate so you can explore long-term scenarios.
Does this calculator predict investment returns?
No. The return is a constant user-provided assumption; real returns vary and may be negative.
Are taxes and inflation included?
No. Results are nominal estimates and exclude taxes and inflation unless a calculator explicitly says otherwise.
When are contributions added?
Recurring contributions are modeled at the end of each selected contribution period.
Are fees included?
Fees are excluded except in the ETF fee calculator, which models expense ratios using a simplified net-return approach.
Can I enter a negative return?
Yes, returns greater than -100% are supported to help test downside scenarios.