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Compound Interest Calculator

Estimate how your money could grow over time with compound interest and regular monthly contributions.

Initial Investment

Monthly Contribution

Annual Interest Rate

Investment Period

years

Compounding Frequency

How Compound Interest Works

Compound interest allows returns to earn additional returns over time. The longer money remains invested, the more compounding can affect the final balance.

Example

An initial investment combined with regular monthly contributions can grow faster because both your original money and previously earned interest continue to compound.

Important

This calculator provides an estimate only. Actual investment returns can vary and are not guaranteed.

What Is Compound Interest?

Compound interest means earning interest not only on your original investment, but also on interest that has already been added to your balance.

Compound Interest Formula

A = P(1 + r/n)^(nt)

In the formula, P is the starting principal, r is the annual interest rate, n is the number of compounding periods per year, and t is the number of years.

Why Do Monthly Contributions Matter?

Regular contributions increase the amount of money that can potentially earn returns. Over longer periods, consistent contributions can make a significant difference to the final balance.