// RETURN TO DOUBLE

Return Required to Double Money Calculator

What annual return is needed to double your money in a chosen number of years?

// INPUTS
In how many years do you want to double?
// OUTPUT
REQUIRED ANNUAL RETURN
10.41%
RULE OF 72 ESTIMATE10.29%

// FORMULA

// FORMULA
r = 2 ^ (1 / Years) − 1
The result is the compounded annual rate that exactly doubles the amount.

// EXAMPLE

// WORKED OUT
To double in 7 years:
  r = 2 ^ (1 / 7) − 1
    = 1.1041 − 1
    = 10.41% per year
Rule of 72: 72 / 7 ≈ 10.29%

// WHAT THIS MEANS

This is the inverse of the doubling-time question. If you have a horizon in mind, the calculator tells you the rate you need. A 10-year horizon needs ~7.2% per year, a 5-year horizon needs ~14.9%, and a 3-year horizon needs ~26%. Use it to sanity-check ambitious return assumptions.

// FAQ

Is this what an investment 'should' deliver?+
No — it tells you what is mathematically required. Whether any real investment can deliver that rate consistently is a different question entirely.
Why does the Rule of 72 give a slightly different number?+
It is an approximation. For doubling-period questions in the 5–15% range it is very close, but the exact formula is always correct.

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