Learn · Dollar-cost averaging
Dollar-cost averaging during market crashes
What happens if you keep DCA through a crash — more units at lower prices, painful mark-to-market, and historical 2020/2022 calculators.
Direct answer
Keeping DCA through a crash means red balances and more units per dollar. Pausing until things “calm down” is timing; the DCA rule is that the schedule does not care about the headline.
Should I pause DCA during a crash?
“Should I pause contributions until things calm down?” That pause is timing. DCA’s rule is the opposite: the schedule does not care about the headline.
During a crash you will see:
- Red portfolio balances (painful).
- Larger share counts per dollar (the mathematical gift).
- A strong urge to stop (the behavioral tax).
Run real windows: 2020 crash DCA and 2022 bear DCA.
What is the difference between crash DCA and buying the dip once?
A one-time dip buy needs a cash pile and a call on the low. DCA through a crash uses paycheck cash and skips the call. Different tools for different bank accounts.
Pair with What if I never sold? and The Boring Alternative if your story is “I sold the bottom.”
How do I see crash DCA on SteadyGrow?
Use the crash calculators above, or the flagship dollar cost averaging calculator with a start year near the drawdown. Read Does DCA work in a bear market? for the framing.
What should I read next?
Frequently asked questions
- Dollar-cost averaging during market crashes?
- Keeping DCA through a crash means red balances and more units per dollar. Pausing until things “calm down” is timing; the DCA rule is that the schedule does not care about the headline.
- Should I pause DCA during a crash?
- Keeping DCA through a crash means red balances and more units per dollar. Pausing until things “calm down” is timing; the DCA rule is that the schedule does not care about the headline. See the full guide and linked calculators on this page for the historical numbers.
- What is the difference between crash DCA and buying the dip once?
- Keeping DCA through a crash means red balances and more units per dollar. Pausing until things “calm down” is timing; the DCA rule is that the schedule does not care about the headline. See the full guide and linked calculators on this page for the historical numbers.
- How do I see crash DCA on SteadyGrow?
- Keeping DCA through a crash means red balances and more units per dollar. Pausing until things “calm down” is timing; the DCA rule is that the schedule does not care about the headline. See the full guide and linked calculators on this page for the historical numbers.
- What should I read next?
- Keeping DCA through a crash means red balances and more units per dollar. Pausing until things “calm down” is timing; the DCA rule is that the schedule does not care about the headline. See the full guide and linked calculators on this page for the historical numbers.
- Can I run this on real market history?
- Yes. Every SteadyGrow DCA guide links to a free historical calculator on published prices since 2015 — not a fixed 7–10% toy rate.
Prefer a question over a definition?
SteadyGrow is built for what-ifs and boring counterfactuals — not just glossary pages. Ask what your money would have done on real history.