RA Calculation

[Dolby]

If I put R500.00pm away in a RA at 10% escalation and assuming 10% return, is there a calculation to see what it would be sitting at in 25 years?

I've found calculators that have the years, interest rate and monthly payments - but they lack the escalation.

Any help?

 

[Barefoot Billionaire]

Try:
http://morethanmoney.co.za/tools/

Then download the 'Save for a goal' spreadsheet. It allows you to set the escalation rate, but not the exact rate at which your investment will grow. For 10%, your closest option is clicking on the 'Balanced fund' tab at the bottom of the spreadsheet.

 

[Dolby]

Thanks MyBB

Found this actually https://www.fnb.co.za/aboutus/calculators/projectedValueOfSavings.html

I think it does the job ; should be over roughly R2.5 million in 28 years. Not that great :/

 

[Barefoot Billionaire]

Yeah, that will feel like about R500k today, assuming inflation of 6%.

Hope you make loads of money this year (and the coming years) so you can increase the monthly contribution!