Time is the multiplier.
See how a starting amount and a steady monthly addition could grow over the years — and how much of the result is growth rather than money you put in.
The return is your assumption, not a forecast. Share prices rise and fall, and past NEPSE returns don't predict future ones — try a few rates to see the range.
- You put in
- Rs. 9,50,000
- Growth
- +Rs. 13,45,048
| Year | Put in | Value |
|---|---|---|
| 1 | 1,10,000 | 1,18,063 |
| 5 | 3,50,000 | 4,69,451 |
| 10 | 6,50,000 | 11,59,577 |
| 15 | 9,50,000 | 22,95,048 |
Returns on your returns.
In year one, compounding looks ordinary. The effect shows up later, when each year's growth is earned on everything that came before. That is why time in the market usually matters more than finding the perfect moment to start.
It works in reverse too. Losses shrink the base that future gains compound on: after a 50% fall you need a 100% rise just to get back to even. Protecting capital is part of compounding.
Balance = Balance × (1 + r ÷ 12) + Monthlyr is your assumed yearly return. Taxes, fees and inflation are not included.
Four inputs, many futures.
Enter a starting amount
Type the lump sum you begin with, in rupees. It can be zero if you are starting from nothing.
Add a monthly contribution
Enter the amount you plan to add every month, like a systematic investment plan (SIP).
Assume a yearly return
Pick a return to test. It is an assumption, not a forecast — try a low, middle and high rate to see a range.
Choose the years and compare
Set how long you stay invested. The chart and table split the result into the money you put in and the growth on top.
Small, steady, patient.
- Automate the monthly addition so a busy month never breaks the streak.
- Reinvest dividends and bonus shares instead of spending them.
- Spread money across sectors — the heatmap shows how differently they move on the same day.
- Keep single losses small with the position size calculator.
Straight answers.
What is compounding?
Compounding is earning returns on your earlier returns, not just on the money you put in. Growth is added to the pot, and the next period's growth is calculated on the bigger pot — so it speeds up over time.
How does this calculator compound?
It compounds monthly: each month the balance grows by one-twelfth of the yearly rate, then your monthly contribution is added. Taxes, fees and inflation are not included.
What return should I assume?
There is no right number. Share returns vary widely from year to year and can be negative. Test several rates — for example a cautious, a middle and an optimistic one — and plan around the cautious case.
Why does starting early matter so much?
Most growth arrives in the later years, when returns are being earned on a large balance. Extra years at the start add more than larger contributions added late.
Does it apply to trading too?
The maths is the same: small, steady gains with small losses compound; one big loss sets you back. A 50% loss needs a 100% gain just to get back to where you started.
Build the habit before the money.
Learn how NEPSE shares behave in the ShareRocketPro app — a practice market built from real NEPSE prices, Rs. 10,000 practice money, no real money at risk. Practice money has no cash value.