# Compound Interest Calculator

Compound interest greatly affect the result of your savings. Use this calculator to understand how compounding can affect your savings, and how interest on interest really adds up.

Inputs
 Interest rate: Deposit Amount: Annual addition: Time span (years):

Results
Move the mouse pointer over the chart to get the per year data.

 Amount total: Compounded Interest: Capital contribution:

Definitions

## Deposit Amount

The amount of your initial investment, also called principal or lump sum.

## Interest Rate

The annual interest rate for your investment.

## Compound Interest

Interest on an investment's interest, plus previous interest.

P = C (1 + r/n) nt
where
P = future value
C = initial deposit
r = interest rate (expressed as a fraction: eg. 0.06)
n = # of times per year interest in compounded
t = number of years invested
When interest is only compounded once per yer (n=1), the equation simplifies to:
P = C (1 + r) t

## Years

Number of years for this investment.