How are Optimistic and Pessimistic lines calculated?

Optimistic uses Expected return plus your volatility input (annual). Pessimistic uses Expected return minus volatility, with a monthly floor to avoid unrealistic declines.

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Investment Calculator

Investment Calculator

Q: Are the KPIs aligned with the chart?

Yes. The last point of the Expected line equals the “Ending balance (expected)” KPI. Both are derived from the same simulation output.

Q: Why did earnings drop when I increased the tax on gains?

In Taxable mode, tax applies only to gains each month. If returns are low while fees and tax are high, net growth can be small or negative.

Plan smarter for your financial future with our free Investment Calculator for Canadians. Quickly model how your money could grow over time by adjusting contributions, returns, fees, and account types like TFSA, RRSP, or taxable accounts. Compare optimistic, expected, and pessimistic scenarios with live charts and year-by-year breakdowns to see the impact of compounding.

Disclaimer: This calculator is for illustration purposes only and does not constitute financial advice. Actual results will vary depending on market conditions and individual circumstances.

Investment Calculator (Canada)

Plan your investing journey with our free, mobile-friendly Investment Calculator. Model contributions, time horizons, expected returns, volatility, fees and (if taxable) tax on gains. Compare Expected, Optimistic, and Pessimistic scenarios with a live chart and a year-by-year breakdown.

Build Your Scenario

Starting amount

Monthly contribution

Years to invest

Expected annual return %

Volatility (std dev) %

Annual fees %

Compounding

Account type

In Taxable, tax applies to gains only; contributions/principal aren’t taxed.

Tax on gains % (taxable only)

KPIs below use the Expected scenario.

Your Projection

Ending balance (expected)

Total contributions

Total growth (net of fees & tax)

ROI

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Expected Optimistic Pessimistic

Year	Start	Contrib	Fees	Tax on gains	Growth (after tax)	End

Swipe left-right on mobile to view all columns. The table shows yearly results for the Expected scenario.

Scenario Definitions

Expected: Your chosen annual return; we subtract fees and, if taxable, tax on gains, then apply monthly.
Optimistic: Expected return plus your volatility input.
Pessimistic: Expected return minus your volatility input (monthly losses are clamped to avoid unrealistic runaways).

These are constant-rate scenarios for comparison—not forecasts.

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How to Use the Investment Calculator

Tap a preset (Conservative → Aggressive) to auto-fill return & volatility.
Set your starting amount, monthly contribution, and years.
Choose account type (TFSA, RRSP, or Taxable). In Taxable, set tax on gains %.
Click Calculate Projection to update the chart, KPIs, and table.

Tip: Test fee reductions or longer horizons to see compounding’s impact.

Investing Basics in Canada

Time in the market

Compounding accelerates with time and steady contributions.
Align risk with your time horizon.

Account types

TFSA: Tax-free growth and withdrawals (within limits).
RRSP: Contributions may be deductible; growth is tax-deferred.
Taxable: Gains may be taxed each year; this tool taxes gains only.

Costs & fees

Even a 0.5% fee compounds over decades—compare MERs and platform fees.
Broad, low-cost ETFs can reduce fees while keeping diversified exposure.

Setting goals

Define goals (retirement, home, education) and align contributions and risk.
Rebalance periodically to maintain your target asset mix.

Investment Calculator FAQs

Are the KPIs aligned with the chart?

Yes. The last point of the Expected line equals the “Ending balance (expected)” KPI. Both are derived from the same simulation.

Why did earnings drop when I increased the tax on gains?

In Taxable mode, tax applies to gains only each month. If returns are low while fees and tax are high, net growth can be small or negative. Try lower fees/tax or a longer horizon.

Which return should I assume?

Conservative portfolios often assume 4–5%, balanced 5–7%, and growth 7–9% over long periods. Always consider fees and risk tolerance.

Does this include inflation?

No—values are nominal. Reduce the return input by expected inflation to approximate real returns.

How is ROI computed?

ROI = (Ending balance − Total contributions) ÷ Total contributions, shown as a percentage.