ETF Investment Calculator

A commonly cited rule of thumb is saving and investing 10–20% of net income. Even €200/month invested consistently over 30 years at a 6% average real return could grow to over €200,000. Consistency tends to matter more than the starting amount — the difference between beginning at 25 versus 35 typically dwarfs the impact of small differences in monthly contributions.

A globally diversified equity ETF (MSCI World or FTSE All-World) has historically returned around 7–8% per year nominally, or 5–6% after inflation. These figures span long periods that include sharp market declines. For German investors, Abgeltungsteuer (26.375% flat rate on gains and dividends) reduces the effective net return further — worth factoring in when projecting long-term growth.

Historical analysis shows lump sum investing has outperformed monthly savings plans (Sparplan / dollar-cost averaging) roughly two-thirds of the time, because markets tend to trend upward over the long run. That said, a monthly Sparplan reduces the risk of investing a large amount just before a significant downturn, and most people invest naturally from their salary each month. Major German brokers (Trade Republic, Scalable Capital, Comdirect) offer automated monthly ETF savings plans with no transaction fees.

Capital gains and dividends from ETFs are subject to Abgeltungssteuer: a flat 26.375% rate including Solidaritätszuschlag. Each person has a €1,000 annual Sparerpauschbetrag allowance — gains below this are tax-free. Accumulating ETFs (Thesaurierer) trigger a Vorabpauschale — a small annual notional tax based on the Basiszins, even without selling. Your broker withholds this automatically. Tax rules depend on your personal situation.

Yes, significantly. Compound growth means money invested earlier has far more time to grow. €10,000 invested at age 25 at 6% per year grows to roughly €102,000 by age 65. The same amount invested at 35 reaches about €57,000 — nearly half. This is the strongest argument for starting with whatever amount is available now, rather than waiting for ideal conditions.