Compound Interest Calculator
Calculate how your investments grow with compound interest. Includes monthly contributions and visualization.
Investment Details
Initial Investment
Monthly Contribution
Annual Interest Rate
Investment Period
Compound Frequency
Investment Growth
Total Future Value
$0
After 0 years
Total Principal
$0
Total Interest
$0
Annual Return
0%
Monthly Growth
$0
Principal
Interest
Total
Growth Over Time
End Balance
$0
Total Deposits
$0
Total Interest
$0
Avg. Annual Return
0%
Year-by-Year Breakdown
| Year | Beginning Balance | Deposits | Interest | End Balance | Growth |
|---|
Comparison Scenarios
See how different rates affect your investment:
About Compound Interest
Compound interest is the interest calculated on the initial principal and also on the accumulated interest of previous periods. It's often called "interest on interest" and can significantly grow your investments over time.
Formula:
A = P(1 + r/n)^(nt) + PMT × (((1 + r/n)^(nt) - 1) / (r/n))
Where:
- A = Future value of the investment
- P = Principal investment amount
- PMT = Monthly contribution amount
- r = Annual interest rate (decimal)
- n = Number of times interest compounds per year
- t = Number of years the money is invested
Key Insights:
- The Power of Compounding: Small, regular contributions can grow significantly over time
- Time is Your Best Friend: Starting early gives compounding more time to work
- Consistency Matters: Regular monthly contributions boost growth
- Rate Matters: Even a 1% difference in interest rate can mean thousands over decades
Example: Investing $10,000 at 7% annual interest for 30 years with $200 monthly contributions grows to approximately $306,000!