Required Return Calculator
Required return calculator
Total return needed
Per year, compounded
Per month, compounded
Doublings required
This runs the arithmetic backwards: instead of guessing a return, you state the outcome you want and it tells you the rate that outcome requires. Turning 10,000 into 100,000 in five years needs about 58% a year, every year, compounded — which is worth seeing written down, because it is the sort of figure people assume without checking. It is a required rate, not a forecast or a plan: nothing here says the rate is achievable, and a rate that high is normally only available alongside a real chance of losing most of the capital instead. The "doublings" row is the same fact in plainer form. Runs entirely in your browser. Not advice.
What this calculator does
It runs the usual arithmetic backwards. Instead of assuming a return and projecting a value, you state the value you want and the time available, and it returns the compound annual rate that would be required — plus the equivalent monthly rate and the number of doublings involved.
Why this direction is the useful one
Turning 10,000 into 100,000 in five years sounds like an ambitious but reasonable plan. Written as a rate it is about 58% a year, every year, compounded — roughly 3.9% a month without a losing month mattering much. Seeing that number is the point of the tool.
A few reference points, because the shape of compounding is unintuitive:
- Double in 1 year — 100% a year
- Double in 10 years — about 7.2% a year
- 10× in 5 years — about 58% a year
- 1,000× in 10 years — about 99.5% a year, or roughly ten doublings
What a required rate is not
It is not a forecast, a plan, or evidence that the outcome is available. It is a constraint: this is what would have to happen. Very high required rates are worth treating as information about risk rather than about return — the assets that could plausibly return 58% a year are the same ones that could plausibly lose most of the capital instead, and the arithmetic here says nothing about which happens.
The calculation also assumes a single lump sum with no additions or withdrawals, and ignores fees and tax. Adding money along the way changes the required rate substantially; for a contributions-based comparison on real history, see the DCA calculator.
Frequently asked questions
What does the doublings figure mean? How many times the money must double to get there. 8× is three doublings; it is the same fact as the total return, in a form that is harder to talk yourself past.
Why is the monthly rate not the annual rate divided by 12? Because it compounds. 58% a year is 3.9% a month, not 4.8%.
Can I use it for periods under a year? Yes — enter a fraction, such as 0.5 for six months.
Is this advice? No, and it is not a projection. See our disclaimer.