Compound Interest Calculator

Calculate compound interest with daily, monthly, quarterly, yearly or continuous compounding and optional monthly contributions.

Loading calculator...

Compound interest calculator in short
On this page

How to use the compound interest calculator

1

Choose a currency

Pick $ USD, £ GBP or ₹ INR.

2

Enter amount, rate and time

Type the starting balance, the yearly interest rate and the number of years. Decimals such as 2.5 years work.

3

Pick the compounding frequency

Savings accounts often compound daily or monthly, bonds yearly or half-yearly.

4

Add monthly contributions

Open the advanced options to add a regular deposit and choose whether it is made at the start or end of the month.

The compound interest formula

Future value of a single amount

A = P × (1 + r/n)n × t

P = starting amount, r = yearly rate as a decimal

n = compounding periods per year, t = years

Continuous compounding: A = P × er × t

Interest earned = A − P.

Adding monthly contributions

FV = C × [(1 + g)m − 1] ÷ g

C = monthly contribution, m = number of months

g = equivalent monthly rate = (1 + r/n)n/12 − 1

For contributions at the start of the month, multiply by (1 + g).

Compound interest examples

Example 1: $10,000 at 5% for 10 years

Compounded monthly, no extra deposits.

With simple interest the same deposit would reach only $15,000.

Example 2: add $200 a month

Same $10,000 at 5% monthly, plus $200 at the end of each month.

Regular contributions more than double the interest earned compared with Example 1.

Reference: $10,000 at 5% for 10 years

Future value by compounding frequency.

More frequent compounding helps, but the gain shrinks quickly: daily beats monthly by only about $17 here.

Simple vs compound interest

Simple interest is paid only on the original amount. Compound interest is also paid on interest already earned, so the balance grows faster every year. Over short periods the difference is small, but over decades it becomes the main source of growth. The rule of 72 gives a quick estimate of doubling time: divide 72 by the rate, so money at 5% doubles in roughly 14.4 years.

Where a compound interest calculator helps

Savings accounts

Project the balance of a high-yield savings or ISA account.

Comparing rates

See how APR, APY and compounding frequency affect the result.

Long-term goals

Check how monthly saving builds up over 10, 20 or 30 years.

Debt growth

Understand how unpaid interest grows a balance; see the credit card payoff calculator.

Estimate, not financial advice

The calculator assumes a constant rate and no fees or taxes. Real savings and investment returns change over time. For Indian deposits use the FD calculator or RD calculator, and for mutual funds the SIP calculator.

Compound interest calculator FAQ

It is interest calculated on the starting amount and on interest already added, so your balance grows faster over time than with simple interest.

More often is better for savers, but the difference between monthly and daily compounding is small. The rate matters far more than the frequency.

APR is the yearly rate before compounding. APY includes compounding. A 5% APR compounded monthly is an APY of about 5.12%.

Divide 72 by the interest rate for a quick estimate. The calculator shows the exact figure for your compounding frequency.

Yes. Enter 2.5 for two and a half years. Monthly contributions are counted for whole months only.

No. Interest is shown before tax. Tax rules depend on the country and account type.

Embed this calculator on your website

Free to use on any site. Copy the code below and paste it into an HTML block on your page. Please keep the credit link under the calculator.

Works with WordPress, Wix, Squarespace, Webflow and most site builders that allow HTML. How embedding works.

Estimates, not advice

PureCalculate’s calculators give estimates for planning and education. They aren’t financial, tax or legal advice. Fees and tax rules change, so check the official source before making a decision. Spotted a mistake? Please tell us through the contact page.

More free calculators

Scroll to Top