Compound Interest Calculator
See how your money grows with the power of compound interest.
- Free Online Tool
- Instant Results
- Mobile Friendly
- No Installation
- Secure & Private
Understanding This Calculator
Compound Interest Formula
Compound interest is interest calculated on the initial principal, which also includes all of the accumulated interest from previous periods.
A = P(1 + r/n)^(nt)
- A: Future value of the investment/loan
- P: Principal investment amount
- r: Annual interest rate (decimal)
- n: Number of times interest is compounded per unit t
- t: Time (years)
Example 1
Invest $1,000 at 5% annual interest, compounded annually for 3 years.
- Formula: 1000 * (1 + 0.05/1)^(1*3)
- 1000 * (1.05)^3 = 1000 * 1.1576
- Total: $1,157.63
Example 2
Invest $5,000 at 6% annual interest, compounded monthly for 1 year.
- Formula: 5000 * (1 + 0.06/12)^(12*1)
- 5000 * (1.005)^12 = 5000 * 1.0617
- Total: $5,308.39
How to Use
- Enter your initial investment.
- Set the interest rate and duration.
- Choose how often interest is compounded.
Frequently Asked Questions
Can I rely on these financial figures?
This tool provides estimates based on your inputs. For improving financial decisions, please consult a professional advisor.
Is this calculator free to use?
Yes, this calculator is 100% free and does not require any registration or subscription.
Is it mobile-friendly?
Absolutely! Our tool is optimized for all devices, including mobile phones, tablets, and desktop computers.