Investing

Compound Interest Calculator

Calculate how compound interest grows your money over time with optional regular contributions.

Calculator

$
$
%
years

Final balance

$81,164.97

Total contributions

$10,000

Interest earned

$71,164.97

Projection

What is compound interest?

Compound interest is interest earned on both your initial principal and the interest that has already accrued. Albert Einstein reportedly called it "the eighth wonder of the world."

Example

$10,000 invested at 7% for 30 years grows to $76,123 without adding another penny.

Money-saving tips

  • Start early — time matters more than the amount you invest.
  • Reinvest dividends and interest to maximize compounding.
  • Even a 1% difference in return compounds dramatically over decades.

Common mistakes

  • Withdrawing gains instead of letting them compound.
  • Underestimating the impact of fees on long-term returns.

Financial definitions

Principal
The initial amount of money you invest or save.
Compounding
When interest earns interest, accelerating growth over time.

Frequently asked questions

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