Calculation scope
Capliz projects savings and investments locally in the browser. It does not simulate loans, taxes, historic market paths or specific financial products.
The engine is deterministic: identical inputs produce identical outputs. It answers scenario questions under the entered assumptions and does not select securities, retrieve market prices or estimate a probability of reaching the result.
Inputs are bounded to keep the model numerically meaningful: duration runs from one month to 200 years, capital and contributions cannot be negative, and supported annual effective returns are greater than −100% and no more than 1000%. These technical bounds are not statements about plausible returns.
Rates and monthly timeline
An effective annual rate is converted with (1 + r)^(1/12) − 1. A nominal rate is first converted according to its compounding frequency. The engine then simulates every month.
For a nominal annual rate j, the selected daily, monthly, quarterly, semiannual or annual frequency determines the effective annual rate: (1 + j/m)^m − 1. That annual effective result is then converted to the monthly rate used by the timeline, so the one-year multiplication remains consistent.
Duration is converted to months and rounded to the nearest whole month. Every month follows a fixed order: a beginning-of-period contribution, if due; interest on the current balance; the equivalent monthly fee; and an end-of-period contribution, if due. This order explains the small difference between beginning and end timing.
Contributions, inflation and fees
Contributions can be monthly, quarterly or yearly and occur at the beginning or end of a period. Real value discounts the nominal balance for inflation; annual fees are converted into an equivalent monthly reduction.
Quarterly and annual contributions occur at three- and twelve-month intervals. Optional annual contribution growth changes the contribution amount at each twelve-month boundary. It is an input scenario and should not be mistaken for an automatic income forecast.
The monthly fee is 1 − (1 − f)^(1/12), where f is the annual fee. It is applied after that month’s interest. Inflation does not reduce the nominal balance; it produces a separate real-value figure by dividing the balance by (1 + inflation)^(months/12). Taxes are excluded because rules depend on jurisdiction and product.
Precision and verification
Internal values are not rounded during the simulation. Tests cover zero and negative rates, nominal compounding, partial years, timing, inflation, fees and inverse calculations.
The output table records opening balance, contributions, gross interest, fees, closing balance and inflation-adjusted value for each completed year and the final partial period. “Interest generated” is gross interest before fees; “net growth” is final capital minus all contributed capital.
A reproducibility check should first use zero rate and zero fee, where final capital must equal initial capital plus deposits. A second check can compare $10,000 at 5% effective for ten years with $16,288.95. Timing can be checked by confirming that beginning-of-month deposits finish slightly above end-of-month deposits.
Privacy and limitations
Financial inputs are not sent to Capliz. A share link is created only on request and contains visible financial parameters, never names or contact details. Results are not advice or guarantees.
Because a share link encodes the scenario in its address, anyone who receives that link can read those parameters. Users should avoid sharing a link if the amounts themselves are sensitive. Ordinary calculations remain in the current browser session.
The fixed-rate model omits volatility, sequence-of-returns risk, product insolvency, liquidity restrictions, currency movements and changes in law. Sources from Investor.gov, the European Central Bank and ESMA support the educational concepts of compounding, purchasing power and costs; they do not validate a particular Capliz scenario or product.