# S&P 500's Average Year Rarely Hits 10%

> S&P 500's average yearly return rarely hits 10% despite long-term data showing 10.6% growth.
- Title: S&P 500's Average Year Rarely Hits 10% · The Motley Fool
- Summary: S&P 500's average yearly return rarely hits 10% despite long-term data showing 10.6% growth. The S&P 500's average yearly return rarely lands near 10% due to…
- Keywords: s&p 500, dividends, yearly return, 10%, s&p 500 index, financial crisis, market volatility, finance, money, 500's, Average, Year
- Source: The Motley Fool — https://fool.com/investing/2026/10/18/the-s-and-p-500-s-average-year-almost-never-happens-here-s-how-often-it-actually-lands-near-10
- Author: Daniel Sparks
- Published: 2026-10-18T04:27:02+00:00
- Read time: 1 min
- Topics: s&p 500, dividends, yearly return, 10%, s&p 500 index, financial crisis, market volatility, finance, money
## S&P 500's Long-Term Average
The S&P 500 gained around 10.6% annually with dividends reinvested over 69 calendar years from 1957 through 2025.
## Rare 8%-12% Years
Only four years between 1968 and 2025 ended with returns between 8% and 12%: 1968, 1993, 2004, and 2016.
## Extreme Yearly Fluctuations
The best year was 1958 with 44% returns, while the worst was 2008 with a 37% drop during the financial crisis.
## Median Year Returns
The median year returned around 15% with dividends reinvested, far above the 10.6% long-run average.
## Longer Time Frames
Over 20-year periods, the S&P 500's yearly return landed between 8% and 12% in 27 of 50 cases, or just over half.
## 2026 Performance Outlook
As of 2026, the S&P 500 is up around 14% with dividends reinvested, above the 8%-12% range with about 10 weeks left.
## Key takeaway

The S&P 500's average yearly return rarely lands near 10% due to extreme yearly fluctuations.