Scheduled investment simulator
Project regular contributions into an investment and measure the effect of annual fees on the final capital, with and without fees.
Your settings
Results update with each entry.
Each payment is invested at the beginning of the period.
Average, constant assumption, before fees. Real returns vary from year to year.
Management fees charged each year on assets under management (contract, fund, broker).
- Capital at the end of 20 years, after fees
- €54,457
- Net return after fees: 3.95% per year.
- Total paid in
- €36,000
- Gain or loss, after fees
- €18,457
- Cost of fees on final capital
- €6,661
- Either 10.9% of the capital without fees (€61,119)
With and without fees
Value of the investment at year-end.
- Including fees
- No Fees
- Total paid in
Breakdown by year
| Year | Total paid in | Fee-free stock | Fee-inclusive value | Effect of fees |
|---|---|---|---|---|
| 1 | €1,800 | €1,848 | €1,838 | €10 |
| 2 | €3,600 | €3,789 | €3,749 | €40 |
| 3 | €5,400 | €5,827 | €5,736 | €91 |
| 4 | €7,200 | €7,967 | €7,800 | €166 |
| 5 | €9,000 | €10,214 | €9,947 | €267 |
| 6 | €10,800 | €12,573 | €12,178 | €395 |
| 7 | €12,600 | €15,050 | €14,497 | €552 |
| 8 | €14,400 | €17,650 | €16,908 | €742 |
| 9 | €16,200 | €20,381 | €19,414 | €967 |
| 10 | €18,000 | €23,249 | €22,020 | €1,229 |
How this calculation is made
The simulator tracks two identical investments month by month: one with no fees, the other with the annual fees you entered. Each contribution is invested at the start of its period (month, quarter or year).
The expected annual return R is converted into an equivalent monthly return, so that twelve months give exactly R over one year. The fees f are deducted each month pro rata to assets under management, which gives a net annual return of:
Net return = (1 + R) × (1 − f) − 1
For monthly payments of amount V without fees, the final value after n months equals V × ((1 + i)^n − 1) / i × (1 + i), where i is the equivalent monthly return.
- The cost of fees shown is the gap between the two final balances: it includes the gains the withdrawn amounts would have generated.
- The return is assumed constant; in reality, it varies and can be negative.
- Entry fees and taxes are not included.
The results are simulations based on the stated assumptions. They do not predict future results and do not take your personal situation into account. The information published on TimeLinq is for informational purposes only and does not constitute investment advice. Investing involves a risk of capital loss.