CD Calculator

See how much a certificate of deposit earns by maturity, with the APY, total interest and tax on interest.

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CD calculator in short
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How to use the CD calculator

1

Enter the deposit

For example $10,000.

2

Enter the rate and term

The APR and the term in months, such as 12.

3

Choose the compounding

Daily is common for CDs.

4

Add tax (optional)

Enter your tax rate to see the balance after tax.

How CD interest is calculated

A CD pays a fixed rate for a fixed term. Interest compounds and stays in the CD until it matures, so you earn interest on your interest. Taking money out early usually costs a penalty.

CD formula

Balance = deposit × (1 + rate ÷ n)^(n × months ÷ 12)

APY = (1 + rate ÷ n)^n − 1

n is the number of compounding periods per year.

Example 1: $10,000 at 4.5% for 12 months

Compounded daily.

  • Balance at maturity $10,460.25
  • Interest earned $460.25
  • APY 4.602%

With a 22% tax rate, the tax is $101.25, leaving $10,358.99.

Example 2: $10,000 at 4% for 60 months

Compounded monthly.

  • Balance at maturity $12,209.97
  • Interest earned $2,209.97
  • APY 4.074%

When a CD calculator helps

Comparing CD offers

See which rate and term pay the most.

Choosing a term

Compare 6, 12, 24 and 60-month CDs.

CD ladders

Plan several CDs that mature at different times.

Savings goals

Know exactly what you will have on a date.

Related tools

Convert rates with the APY calculator, plan monthly saving with the savings goal calculator, or check growth with the compound interest calculator.

CD calculator FAQ

At 4.5% compounded daily, about $460.25.

APR is the base rate; APY includes compounding. Banks usually advertise the APY.

In most countries, yes, as ordinary income in the year it is earned.

Usually, but most banks charge an early withdrawal penalty.

Often daily or monthly; check your bank’s terms.

You can withdraw the money or roll it into a new CD.

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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.

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