Calculate how your investments grow over time with compound interest. Add monthly contributions and see a yearly breakdown of your balance, interest earned, and total contributions.
Compound interest is interest calculated on both the initial principal and the accumulated interest from previous periods. It's often called "interest on interest" and is the key to long-term investment growth.
More frequent compounding (daily vs annually) results in slightly higher returns because interest is calculated and added to the principal more often. The difference becomes more significant over longer time periods.
The Rule of 72 is a quick way to estimate how long it takes for an investment to double. Divide 72 by your annual interest rate. For example, at 8% interest, it takes about 9 years (72/8 = 9) to double your money.
This calculator provides estimates based on the inputs provided. Actual investment returns may vary due to market conditions, fees, and taxes. Always consult a financial advisor for investment decisions.