Compound Interest Calculator
See how your money grows with compound interest. Calculate future value with regular contributions.
Compound Interest Formula:
A = P(1 + r/n)^(nt) + PMT × [((1 + r/n)^(nt) - 1) / (r/n)]
Future Value
$300,851
Total Contributed
$130,000
Total Interest Earned
$170,851
Contribution vs Interest
Effective Annual Rate
7.23%
Rule of 72 (Doubling)
10.3 years
How This Calculator Works
Enter Your Details
Input your initial investment, monthly contribution, expected interest rate, and time period.
Calculate Growth
The calculator applies the compound interest formula A = P(1 + r/n)^(nt) with your chosen compounding frequency.
See Your Results
View your future balance, total interest earned, and year-by-year growth visualization.
Who Should Use This Calculator
Understanding compound interest is essential for anyone looking to grow their wealth over time.
Investors
Planning long-term portfolio growth and retirement
Savers
Comparing savings accounts and CD rates
Students
Learning fundamental financial concepts
Parents
Planning for college or teaching kids about money
The Power of Compound Interest
Time is your greatest asset. Starting 10 years earlier can double your final balance, even with the same contributions.
Small, consistent contributions add up significantly over time. $500/month for 30 years at 7% becomes over $600,000.
Avoid withdrawing interest. Reinvested earnings generate their own earnings, creating exponential growth over time.
Frequently Asked Questions
Official References
Learn more about compound interest from these trusted financial education resources:
- SEC Investor.gov Compound Interest Calculator
Official SEC educational resource on compound interest
- FINRA: The Power of Compounding
Financial industry guide to understanding compound growth
- Federal Reserve Educational Resources
Central bank educational tools on financial concepts
This calculator provides estimates for educational purposes only. Actual investment returns will vary based on market conditions, fees, and other factors. Past performance does not guarantee future results.