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Compound Interest Calculator

See how a principal grows with compound interest over time.

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Why compounding frequency matters

Interest-on-interest accelerates growth: the same nominal rate compounded monthly yields slightly more than compounded yearly. Over long periods the compounding effect dwarfs the contributions themselves — the reason to start saving early.

The rule of 72

Divide 72 by the annual rate to estimate doubling time: at 8% money doubles roughly every 9 years. It's a handy sanity check on any projection.