Compound Interest Calculator

Watch Your Money Grow Over Time

Calculate how your investment grows with compound interest. Adjust principal, rate, and time to see the power of compounding.

Calculator Inputs

$

The initial amount you're investing

%

Expected annual return rate

years

How long you plan to invest

How often interest is compounded

Quick Presets

Final Value

$22,196.40

💰

Interest Earned

$12,196.40

📈

Principal

$10,000.00

🏦

Growth Multiple

2.22×

🚀

Growth Over Time

What is Compound Interest?

Compound interest is the process of earning interest on both your initial principal and the interest already accumulated. Unlike simple interest, which is calculated only on the principal, compound interest grows exponentially over time — making it one of the most powerful forces in personal finance.

The Compound Interest Formula

A = P × (1 + r/n)^(n×t)

Where A is the final amount, P is the principal, r is the annual interest rate, n is the number of times interest compounds per year, and t is the time in years.

Compounding Frequency

The more frequently interest compounds, the more you earn. Daily compounding yields slightly more than monthly, which yields more than annual compounding. For long-term investments, this difference becomes significant.