---
title: "Accumulating vs. Distributing Fund Calculator"
description: "Accumulating or distributing? Which ETF wins after German taxes? Comparison over 10–30 years with Vorabpauschale, church tax, and saver's allowance."
canonical: "https://investboard.de/en/rechner/thesaurierer-vs-ausschuetter"
language: "en"
modified: "2026-07-09"
author: "Investboard"
---

# Accumulating vs. Distributing Fund Calculator

Which ETF type gives you more wealth after German taxes? Long-term comparison with Vorabpauschale, partial exemption, and saver's allowance.

## Accumulating vs. Distributing — What Is the Difference?

With accumulating funds (thesaurierend), all income (dividends, interest) is automatically reinvested within the fund. The fund's value increases, but no cash flows into your account. For tax purposes, accumulating funds are subject to the annual Vorabpauschale (advance lump sum) — a minimum tax based on the Basiszins (base interest rate).

Distributing funds (ausschüttend) pay out income on a regular basis. These distributions are taxed immediately: Abgeltungsteuer (25%), Solidaritätszuschlag (5.5%), and, if applicable, Kirchensteuer (church tax) are withheld directly.

## Why Does the Accumulating Fund Usually Win?

The decisive advantage is the tax deferral effect (Steuerstundungseffekt). The Vorabpauschale is based on the Basiszins (2026: 3.20%), not on the actual return. For an ETF with a 7% return, the Vorabpauschale is significantly lower than the full distribution tax. The untaxed capital continues to compound — the compounding effect makes a noticeable difference over 20-30 years.

## When Is the Distributing Fund Better?

In a few cases, the distributing fund can be equivalent or even slightly better: when the Sparerpauschbetrag (saver's lump sum of EUR 1,000) covers all distributions and, at the same time, the Vorabpauschale on the accumulating fund uses up the full allowance. For very short investment horizons (under 5 years), the difference is generally negligible. Some investors also prefer the distributing variant for the psychological benefit of receiving regular income.