If you invest xxx€ a month at xxx% over xx years, you will end up with a final capital of €xxx. These consist of €xxx in deposits and €xxx in interest or capital gains.
Imagine your grandparents giving you €10,000 just like that. Jackpot! But you don't know what to do with it? Our end capital calculator tells you how much your money would be worth in the future if you invest it today.
If we stay with the 10,000 € received from your grandparents, then you start with this sum (= initial capital). If you were to invest your money today, you would receive interest year after year. You then add this to your initial capital and get your final capital.
Initial capital + interest = final capital
This means that if you invest your money instead of just leaving it in a savings account, you can use our calculator to work out how your initial capital will increase over the years.
Yes, you could just spend the money now, but the much smarter option is to invest your money wisely. That way it can work for you over the years and become more by itself without you having to do anything. See for yourself in the final capital calculator what €10,000 would become if you invest the money today.
Let's take a look at what you need to calculate your final capital?
You can leave the complicated calculations to our final capital calculator, but let's take a closer look at the individual components of the calculation:
Initial capital is basically the money that is invested - i.e. invested in securities - at the beginning of a certain period of time. You can also call it starting capital, because you start with this sum of money if you want to reach your financial goal. In this example, your grandparents' €10,000 would be your starting capital.
But you can also start with any other amount. After all, not everyone can have such generous grandparents.
If you don't currently have any initial capital at your disposal, but you can regularly save an amount aside, then definitely take a look at our compound interest calculator. You'll be surprised how quickly your assets can grow if you invest regularly.
At this point in the final capital calculator, you can work through different scenarios. This is particularly fun. Here you have the option of trying out different terms. Depending on when you need or want to use the money again, you enter the respective duration in years or months.
But I can definitely tell you that you will profit much more the longer you keep your capital invested. It's even better if you regularly invest smaller amounts every month. Then your assets can grow even more. Be sure to check out our compound interest calculator and see for yourself.
For the two questions above, it is up to you how much money you have available and when you want to take it out again. With the interest rate, however, we are dependent on the market. Nobody knows how the capital market will develop, but one can at least assume average values based on past decade.
The longer your investment horizon, the better it is, of course. The stock market will always go up and down. But the longer you are invested, the better these ups and downs balance each other out and you have less to worry about.
Which interest rate makes sense? Let's look at an example. If you want to start investing, it always makes sense to spread the risk as broadly as possible - preferably over the whole world. World ETFs such as MSCI World are suitable for this. Here you spread your risk over around 1,600 shares from all the industrialised countries of the world.
Depending on the time period you would look at exactly, you can assume a return of about 7% on an MSCI World historically. However, as these are past values, please bear in mind that this interest rate does not guarantee future returns. Depending on how cautious you are, you can simply start with a lower interest rate to calculate your final capital.
Now you know how the end capital calculator helps you find out how much your investment could be worth in the future.
Your only task now is to find the right investment for you that has had a similar average interest rate in the past. Maybe our "What to invest in - tool" can help you with this task. "What should I invest in - tool" .
In addition to deciding which security you want to invest in, you can of course also think about what you will do with your assets 😉 Always set yourself financial goals right from the start and you will see how much they will motivate you.
Let's go! Invest your initial capital, put your feet up and watch your money grow.
Other calculators that can help you with this:
Calculator: Plan your financial goals
Calculate initial capital: How much money do you need to invest today for your financial goal?
Compound Interest Calculator: How to take advantage of Compound Interest Concept?
Financial Freedom Calculator: How much do I need to invest monthly in order to retire early?
