Free calculator
Lump sum vs monthly investing calculator
You have a sum to invest. Put it all in now, or spread it over a few months? Enter your numbers, and try a market fall in the first month to see when drip-feeding comes out ahead.
Working it out…
How it works
Lump sum: all the money is invested on day one. Drip-feeding: an equal part goes in each month, and the rest earns cash interest until it’s invested.
When investments grow faster than cash, the lump sum usually ends up ahead, because more money is invested for longer. Set a fall in the first month to see when drip-feeding wins: it buys some of its shares after the drop.
Vanguard’s research, using data from 1976 to 2022, found a lump sum beat drip-feeding over three months about two-thirds of the time. Our lump sum lesson explains the study.
Results are illustrations from the numbers you enter, not forecasts or advice. Real returns go up and down, and you could get back less than you put in.
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