Mutual Fund Calculator - Calculator See


Mutual Fund Calculator

Calculate mutual fund investment returns and analyze the heavy cumulative drag of expense ratios and management fees over decades.

Calculator Inputs

$
Starting portfolio balance.
$
Monthly investment.
%
Market return before fees.
%
Annual management fee percentage.
yrs
Time horizon.

Calculated Results

Portfolio Value After Fees
$98,421.14 (vs $112,580 without fees)
Cumulative Fee Loss -$14,158.86 Lost to Fees
Net Annualized Return 6.75% net
Expense Drag Impact -12.58% Total Loss
Values calculate live as you adjust inputs.

About Mutual Fund Calculator

Demonstrates the compounding erosion caused by active fund management fees (expense ratios) relative to low-cost passive index funds.

What is Mutual Fund Calculator?

Demonstrates the compounding erosion caused by active fund management fees (expense ratios) relative to low-cost passive index funds.

How to Use This Calculator

  1. Enter initial investment and monthly addition.
  2. Enter expected market return.
  3. Enter fund expense ratio.
  4. Review net nest egg and total dollars surrendered to management fees.

The Mathematical Formula & Variables

Net Return = Gross Return - Expense Ratio

Step-by-Step Worked Example

Scenario: $10k start + $250/mo at 8% gross vs 1.25% fee over 20 years.

  1. Net return = 8.0% - 1.25% = 6.75%.
  2. At 8.0% gross, portfolio reaches $172,000.
  3. At 6.75% net, portfolio reaches $144,000.
  4. Fees cost over $28,000 in lost wealth.

Result: $28,000 Lost to Management Fees

Frequently Asked Questions

What is a good expense ratio?

Broad index funds (like S&P 500 or total market funds) charge between 0.02% and 0.08%, while actively managed mutual funds often charge 0.75% to 1.50%.