Compound Interest Calculator

How to calculate compound interest

1. Enter the starting amount and how much you add each month.
2. Enter the yearly interest rate, the number of years and how often interest is compounded.
3. Read the final balance and how much of it is interest, and follow the growth year by year in the table.

Frequently asked questions

What is compound interest?

Interest that is added to the balance and then earns interest itself. Over long periods it grows much faster than simple interest, which is paid only on the original amount.

How often is interest compounded?

Savings accounts usually compound daily or monthly and investments are often compared yearly. The effective yearly rate (APY) shows what a rate works out to once compounding is included.

Are taxes and inflation included?

No. The result is before tax and in today's money. Real returns from investments vary from year to year.