Dollar Cost Averaging Calculator
Calculate how investing a fixed amount regularly affects your average purchase price and total investment value.
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Results
Enter your values and click Calculate to see results.
Learn About Dollar Cost Averaging
What is this calculator?
This DCA calculator projects portfolio growth when you invest the same dollar amount every month over a set period at an assumed annual return.
How does it work?
Each month, your contribution is added and the portfolio grows at the monthly equivalent of your expected annual return. Results show total invested, estimated value, and gain.
Formula
$$FV = \sum_{t=1}^{n} PMT \times (1 + r)^{n-t}$$
Where $PMT$ is monthly investment, $r$ is monthly return rate, and $n$ is total months.
When should you use it?
- Planning automated monthly ETF or index fund contributions
- Estimating long-term wealth from consistent investing
- Comparing different monthly amounts or time horizons
Example
Investing $500/month for 10 years at 8% annual return yields roughly $91,500 from $60,000 invested — about $31,500 in gains.
FAQ
DCA means investing a fixed amount on a regular schedule, buying more shares when prices are low and fewer when prices are high.
No investment strategy guarantees profit. Returns depend on market performance and the assets you choose.