Investment Simulator How to compare investment growth scenarios in Canadian dollars
Compare 4%, 6% and 8% illustrative annual returns on C$5,000 with C$200 in monthly contributions over 15 years.
To see how much your projection depends on the return, keep the starting balance, contributions and timeline fixed. In this example, C$5,000 up front and C$200 per month for 15 years grows to about C$58,096 at 4%, C$69,644 at 6% or C$83,817 at 8%. These are hypothetical effective annual returns with deposits at the start of each month.
Compare the money you put in with projected growth
Each scenario starts with the same C$41,000 in total contributions. The table rounds to the nearest dollar and excludes fees, tax and inflation.
| Annual return | Projected balance | Projected growth |
|---|---|---|
| 4% | C$58,096 | C$17,096 |
| 6% | C$69,644 | C$28,644 |
| 8% | C$83,817 | C$42,817 |
The difference between the lowest and highest balances is about C$25,720. If your plan only reaches its target in the highest-return example, try holding the lower return fixed and testing a larger contribution or a longer timeline. That shows how those inputs change the outcome independently.
Use a rate that matches the account
If you are modelling a Canadian savings account, check whether the rate applies to the full balance and how frequently the institution compounds interest. The Financial Consumer Agency of Canada’s guide to savings accounts walks through balance tiers and compounding conventions.
When modelling an investment with variable returns, a constant percentage is a simplified scenario. Two paths can produce different outcomes for a person making regular contributions even when the same set of annual returns occurs in a different order.
See how monthly contributions compound for the calculation and deposit timing.