How this calculator works
Future value uses FV = PV(1+r)^t. Real return uses the exact Fisher relationship: (1+nominal)/(1+inflation) − 1.
Formula
FV = PV × (1+r)^tCompound future value.
real = (1+nominal)/(1+inflation) - 1Exact Fisher relationship for inflation-adjusted return.
Worked example
$100,000 invested for 10 years at 10% nominal return with 5% inflation is a verified test case used by the calculation engine.
Assumptions and limitations
- Nominal return and inflation are constant annual rates.
- Compounding is represented annually for this model.
- Taxes, fees and sequence-of-returns risk are excluded.
Methodology & sources
This calculator uses deterministic, versioned calculation logic. The formula and verified examples above are part of the calculation definition used by CalcuMint.
Frequently asked questions
Is real return just nominal return minus inflation?
No. This calculator uses the exact multiplicative relationship between nominal return and inflation.
Is the inflation-adjusted return an investment forecast?
No. It applies the nominal return and inflation assumptions you enter using the stated deterministic formulas.