Compound Interest Calculator

Calculate how savings or investments grow over time with compound interest.

Final Balance

$54,915.51

Total Contributions

$34,000.00

Total Interest

$20,915.51

How to Use Compound Interest Calculator

  1. 1

    Enter the initial deposit

    Type the starting amount (principal) you are investing or depositing into a savings account.

  2. 2

    Set the interest rate

    Enter the annual interest rate as a percentage. This is the rate your bank or investment offers.

  3. 3

    Choose compounding frequency

    Select how often interest is compounded — annually, semi-annually, quarterly, monthly, or daily.

  4. 4

    Set the time period

    Enter the number of years you plan to save or invest.

  5. 5

    Add monthly contributions (optional)

    Enter an optional recurring monthly deposit to see how regular contributions accelerate growth.

Key Features

Flexible Compounding

Choose from annual, semi-annual, quarterly, monthly, or daily compounding to match your account's terms.

Monthly Contributions

Add recurring monthly deposits to see the combined effect of regular saving and compound growth.

Instant Results

Final balance, total contributions, and total interest earned update in real time as you adjust inputs.

Year-by-Year Breakdown

View an optional table showing how your balance grows each year with contributions and interest separated.

Common Use Cases

  • Savings Goals

    See how much your savings account will be worth in 5, 10, or 20 years at your bank's current interest rate.

  • Investment Planning

    Model long-term investment growth by adjusting rate of return, time horizon, and monthly contributions.

  • Comparing Accounts

    Compare different savings accounts by plugging in their rates and compounding frequencies to see which yields more.

  • Retirement Forecasting

    Estimate how much your retirement fund could grow over decades with consistent monthly contributions.

Frequently Asked Questions

What is compound interest?

Compound interest is interest calculated on both the initial principal and the accumulated interest from previous periods. Unlike simple interest, your money grows exponentially over time because you earn interest on your interest.

How does compounding frequency affect the result?

More frequent compounding produces slightly higher returns because interest is calculated and added to the balance more often. Daily compounding earns more than annual compounding at the same rate, though the difference is often small.

What is the formula used?

The tool uses A = P(1 + r/n)^(nt) for the initial principal, where P is principal, r is annual rate, n is compounding frequency, and t is years. Monthly contributions are calculated separately and added to the total.

Is my financial data sent to a server?

No. All calculations happen entirely in your browser. Your financial information is never transmitted to any server.