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Open dollar-cost averaging calculator — lump sum vs DCA

How to use the DCA calculator

When to use it, what to enter in each field, and mistakes that skew the result. Free in your browser.

Open dollar-cost averaging calculator — lump sum vs DCA

Scheduled investing (DCA) is as much about sticking with a plan as about averages. Lump sums often win on paper; regular contributions win when they keep you invested.

Dollar cost averaging (DCA) calculator.

Practical tip Start with round numbers from your bank or contract. You can refine decimals after the first pass.

What to enter

Have these handy before you start. Names vary by tool, but the ideas are the same.

Quick workflow

Free calculator Use the DCA calculator to compare periodic buys versus a lump-sum entry over the same horizon and volatility assumptions.

Worked example (illustrative)

You have $12,000 to deploy and plan $500/month for 24 months while the asset drifts upward with volatility. Lump-sum investing on day one captures the full rally if prices rise steadily; dollar-cost averaging smooths the average purchase price when prices swing—sometimes beating lump sum, sometimes lagging. Over 24 months at $500/month you invest $12,000 either way; the difference is timing risk, not magic. Model both paths in the DCA calculator with your expected return and volatility—not a prediction of VTSAX or any fund.

Common search questions

Open dollar-cost averaging calculator — lump sum vs DCA

When to use it

Open the tool when you already have a quote, a deadline, or a what-if and need a clear number for investing.

Situations people use it for

How to read the result

Treat the output as a structured estimate. Small input changes should move the result in a direction that makes sense.

Common slip-ups

Try it with your numbers

Open the DCA calculator, enter your case, and keep a screenshot or PDF if you will revisit the decision. Everything runs in your browser; your inputs are not sent to our servers for the math.

Open DCA calculator

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