Calculator
Dollar-cost averaging calculator
Dollar-cost averaging is the practice of investing the same dollar amount on a regular schedule regardless of price. It smooths out entry price and removes the pressure to time markets.
Updated July 2026
$
%
Projected value
$261,983
Total contributed
$120,000
Growth from returns
$141,983
118% of contributions
How it works
Shares_t = Contribution / Price_t ; FinalValue = Σ Shares × FinalPrice
- Enter your monthly contribution and horizon.
- Enter an expected annualised return (used as constant compounding for this simple model).
- The calculator returns total invested, final value, and the average cost per period.
Worked examples
- $500/month for 20 years at 7% grows to about $260,000 from $120,000 contributed.
- Cutting contributions in half doubles the years needed for the same result — time matters more than amount at the margin.
Frequently asked questions
Does DCA beat lump-sum investing?
On average, lump-sum wins about two-thirds of the time because markets rise most years. DCA wins on psychology — investors are more likely to stay in.
How often should I contribute?
Monthly is standard and matches most paycheques. Weekly and biweekly work fine; daily adds friction without meaningful benefit.
Related
Educational information only. Not personalised financial advice. Consult a qualified professional for decisions specific to your situation.