Compound Interest Calculator

Free compound interest calculator with daily, monthly, and annual compounding. See final balance, total interest earned, growth with monthly contributions, and a full year-by-year table.

Example Scenarios

Savings Growth

$10k • 5% • 10 yr

Long Term

$10k • 7% • 20 yr

Monthly Deposits

$200/mo • 7% • 30 yr

Principal + Deposits

$5k + $100/mo • 6%

Growth Details View Results

Compound Growth Results

Final Balance
Total Interest Earned
Interest From Compounding
Total Contributions
Effective Annual Rate (APY)

Growth Over Time

Compounding Frequency Comparison

FrequencyFinal BalanceInterest

Year-by-Year Growth

YearStartContributionsInterestEnd
How This Is Calculated

Compound interest uses A = P(1 + r/n)nt for the starting principal, plus month-by-month compounding for any deposits. Your numbers are plugged in below:

Enter your growth details to see the math…
Guide & Reference

Everything behind the Compound Interest Calculator

Formulas, reference charts, and detailed answers — expand any section you need.

Daily vs Monthly vs Annual Compounding

More frequent compounding earns more at the same stated rate, but the gap is smaller than most people expect, and it shrinks as a share of the balance over time. The frequency comparison table runs your exact inputs at all four frequencies so the real difference is visible.

Compounding$10,000 at 5% for 10 Years
Annually$16,289
Quarterly$16,436
Monthly$16,470
Daily$16,487

The lesson: rate and time dominate; frequency fine-tunes.

How Long Does It Take Money to Double? The Rule of 72

Divide 72 by your annual rate to estimate the years needed to double: at 6%, about 12 years; at 9%, about 8 years. It's an approximation of the compound formula that works well for rates between 4% and 12%, and it's the fastest way to sanity-check any growth projection without a calculator.

Annual RateYears to Double (Rule of 72)
4%18 years
6%12 years
8%9 years
10%7.2 years

Compound Interest Calculator: How Your Money Grows

This compound interest calculator shows what happens when interest earns interest. Enter a starting amount, annual rate, time period, and compounding frequency, and the calculator displays the final balance, total interest, and a year-by-year growth table instantly. Add monthly contributions to model real saving behavior, and the growth chart splits the final balance into principal, deposits, and interest so you can see exactly what compounding contributed.

Example: $10,000 at 7% compounded monthly for 20 years grows to $40,387, with $30,387 of it interest.

The Compound Interest Formula Explained

Compound interest uses A = P(1 + r/n)^(nt), where P is the starting principal, r is the annual rate as a decimal, n is the number of compounding periods per year, and t is time in years. The exponent is what separates compounding from simple interest: each period's interest joins the balance and earns its own interest in every period after. The calculator applies the formula automatically and shows it with your numbers in the trust section.

Worked example: $5,000 at 6% compounded monthly for 10 years: A = 5000(1 + 0.06/12)^(120) = $9,097.

Compound Interest Calculator With Monthly Contributions

Regular deposits transform the math, because every contribution starts its own compounding clock. A modest monthly deposit sustained over decades routinely out-earns a much larger lump sum added late. The contributions layer in the chart makes this visible: early money has time to compound, late money doesn't.

Example: $200 per month at 7% for 30 years, with no starting balance, grows to about $243,000, of which roughly $171,000 is interest.

Compound Interest vs Simple Interest

Simple interest pays only on the principal; compound interest pays on the principal plus everything already earned. Over short periods the difference is minor. Over decades it's the majority of the balance: $10,000 at 7% for 30 years earns $21,000 simple but $71,165 compounded monthly. The calculator shows the compounding bonus as its own line so the gap is never abstract.

FAQ

Frequently Asked Questions

How do I calculate compound interest?
Use A = P(1 + r/n)^(nt): principal times one plus the rate divided by compounding periods, raised to periods times years. The calculator applies it instantly and shows the year-by-year breakdown.
How much is $10,000 compounded at 7% for 20 years?
Compounded monthly, about $40,387. Compounded annually, about $38,697. The frequency comparison shows all variants with your inputs.
What does compounded daily vs monthly mean?
It's how often earned interest joins the balance and starts earning itself. Daily compounding earns slightly more than monthly at the same rate, though the difference is usually small.
What is the rule of 72?
Divide 72 by the annual rate to estimate the years for money to double. At 8%, roughly 9 years. It approximates the compound formula for quick mental math.
Does adding monthly deposits change the result?
Significantly. Each deposit compounds from the month it's made, so consistent contributions over long periods often generate more interest than the starting balance does.
What is APY vs interest rate?
APY is the effective annual rate after compounding is included, which is why banks advertise it. The calculator shows the APY equivalent of your rate at your chosen frequency.
Is this calculator free?
Yes, completely free, with no signup and the full year-by-year growth table visible and downloadable.

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