Lumpsum Investment Calculator
Calculate what a one-time lumpsum investment grows to, with compound annual returns, a year-by-year breakdown, and the inflation-adjusted real value in today's money.
Investment Details
₹5 Lakh
Maturity Value
₹15.53 Lakh
In 10 yr at 12% · Real value: ₹8.67 Lakh
Invested
₹5,00,000
Wealth Gained
₹10,52,924
Maturity Value
₹15,52,924
Year-by-Year Growth
| Year | Opening | Growth | Closing |
|---|---|---|---|
| 1 | ₹5,00,000 | ₹60,000 | ₹5,60,000 |
| 2 | ₹5,60,000 | ₹67,200 | ₹6,27,200 |
| 3 | ₹6,27,200 | ₹75,264 | ₹7,02,464 |
| 4 | ₹7,02,464 | ₹84,296 | ₹7,86,760 |
| 5 | ₹7,86,760 | ₹94,411 | ₹8,81,171 |
| 6 | ₹8,81,171 | ₹1,05,741 | ₹9,86,911 |
| 7 | ₹9,86,911 | ₹1,18,429 | ₹11,05,341 |
| 8 | ₹11,05,341 | ₹1,32,641 | ₹12,37,982 |
| 9 | ₹12,37,982 | ₹1,48,558 | ₹13,86,539 |
| 10 | ₹13,86,539 | ₹1,66,385 | ₹15,52,924 |
How It Works
A lumpsum is a single one-time investment that compounds over time, versus a SIP which invests smaller amounts monthly. The maturity value follows the compound growth formula: the investment multiplied by (1 + annual return) raised to the number of years. Because returns compound on returns, the growth accelerates in later years — the classic hockey-stick curve. This calculator shows the year-by-year progression so you can see how the corpus builds, and it also computes the inflation-adjusted (real) value by discounting the maturity amount by your expected inflation rate. That real value reveals what your money will actually be worth in today's purchasing power, which is what matters when planning for a future goal. A lumpsum suits a one-time surplus (bonus, maturity proceeds, inheritance); if you invest regularly from income instead, compare with a SIP.
Formula
Maturity = P × (1 + r)^n. Real value = Maturity ÷ (1 + inflation)^n, where P = investment, r = annual return, n = years.
Frequently Asked Questions
How is lumpsum maturity calculated?
Using compound interest: Maturity = Principal × (1 + annual return)^years. For example, ₹5 lakh at 12% for 10 years = 5,00,000 × 1.12^10 ≈ ₹15.5 lakh.
Lumpsum or SIP — which is better?
It depends on your money and the market. Lumpsum suits a one-time surplus and benefits when markets rise afterwards; SIP averages your cost over time and suits regular income and volatile markets. Many investors use both.
What return should I assume?
Use a realistic long-term estimate for your asset: historically ~10-12% for diversified equity funds, ~7-8% for debt/FDs. Higher assumed returns inflate the projection — be conservative for planning.
Why does inflation matter for a lumpsum?
Inflation erodes purchasing power. A ₹15 lakh maturity in 10 years buys less than ₹15 lakh today. The inflation-adjusted value shows the corpus in today's money so your goal planning stays realistic.
Are lumpsum returns guaranteed?
Only for fixed-return products like FDs. Market-linked investments (equity/mutual funds) have variable returns and can fall — the assumed rate is an estimate, not a guarantee.