Millionaire Calculator

How it is calculated

The tool simulates your balance month by month until it reaches 1,000,000. The monthly rate is r = annual_return ÷ 100 ÷ 12, and each month the balance becomes balance × (1 + r) + monthly_contribution, so the contribution is added at the end of the month. The month count is divided by 12 and shown in years to one decimal. The target is fixed at 1,000,000 in the same currency you use for savings and contributions, and the return is a constant nominal annual rate with no tax, fees or inflation. The simulation stops after 1200 months; if the balance is still short, the result says it was not reached within 100 years. A negative savings, contribution or return gives no result. A balance already above one million shows 0.0 years.

Common mistakes

• Entering an optimistic return such as 10% and treating it as guaranteed. The tool applies one fixed rate every month, so a poor early market can delay the date a great deal.
• Ignoring inflation. The target is one million nominal units, which will buy less in 25 years than today.
• Entering the contribution as a yearly amount. The field is per month, so 12000 a year must be typed as 1000.
• Forgetting that returns shown here are before tax and fund fees. Use a net-of-costs rate if you want a realistic date.
• Entering zero contribution with zero or small savings and expecting a date. If one million is not reached in 1200 months, the tool simply says so.