Method, example and interpretation · Revised 16 October 2026
Plan a starting investment and future contributions together
A cash balance available today and money invested from future income do different jobs. The combined mode keeps those amounts separate, then shows their projected total. This makes it easier to compare investing a starting sum, building a monthly habit, or doing both.
Two streams, one projection
The lump sum compounds annually from the start of the period. Recurring contributions use the beginning-of-month SIP convention shown on this site. In combined mode, their projected values are added. The displayed rate therefore follows each stream’s stated compounding convention; the result is a planning illustration rather than a product quotation.
Interpret gains correctly
Investment gains exclude your original cash and every monthly contribution. A wealth multiple compares projected corpus with total money contributed, but it does not account for when each rupee was invested. It is not an annualised return. Use dated cash flows in the XIRR tool to analyse the performance of an actual portfolio.
Keep liquidity outside the model
A long-term investment projection does not tell you whether a particular asset is appropriate for an emergency fund or a near-term purchase. Keep the time until the money is needed separate from your tolerance for market fluctuations. Compare several return assumptions and account for tax and charges outside this projection.
Worked example
A starting ₹1,00,000 at 12% annual compounding for 10 years.
Lump-sum scenario: ₹3,10,585.
Adding monthly contributions increases both the projected value and the amount you invest. Compare both columns before attributing the entire difference to returns.
Questions about this tool
Is the corpus adjusted for inflation?
No. Use the inflation calculator to translate a future nominal corpus into today’s purchasing power.