Rytvae Consulting · Think Right · Invest Right
Required Rate of Return Calculator
Result
Chart
Show formula & working
Solves PV × (1 + r)n + C × ((1 + r)n − 1) ÷ r = FV for the monthly rate r (Excel RATE), then annual = (1 + r)12 − 1
With no contribution: r = (FV ÷ PV)1/n − 1.Details
How this works
Work backwards from a target: how fast must the money grow? With regular contributions the answer needs a numerical solver — the same one Excel's RATE uses.
A high required rate is a signal to save more or allow more time, not to chase risk.
Frequently asked questions
Why two rates?
The effective rate includes monthly compounding; the nominal rate is the monthly rate × 12.
What if no rate works?
If contributions already exceed the target, or the target is unreachable, the calculator says so.