Compound interest calculator helps you see how your money can grow. This tool makes it easy to understand your investments, whether you are new to investing or have been doing it for years. Knowing how compound interest works helps you make better financial choices.

What is Compound Interest?

In simple terms, compound interest is “interest on interest.” It’s the process where the interest you earn on an investment is added to the principal amount, and future interest calculations are based on this new, larger total. This snowball effect can dramatically increase the value of your investments over time, making it one of the most powerful concepts in finance.

How to Use the Calculator

Our calculator is packed with features to help you explore various investment scenarios. Here’s a step-by-step guide to each field:

1. Select Your Currency Start by choosing your preferred currency from the toggle buttons at the top (₹, $, €, £, ¥). All financial values in the calculator will be displayed in the selected currency.

2. Initial Investment This is the starting principal amount of your investment. Enter the initial lump sum you plan to invest.

3. Interest Rate Enter the annual interest rate you expect to earn on your investment. You can also specify if this rate is applied annually or monthly using the dropdown next to the percentage input.

4. Compound Frequency This is a crucial setting. It determines how often the interest is calculated and added to your balance. Choose from:

• Yearly: Interest is compounded once a year.
• Half-Yearly: Compounded twice a year.
• Quarterly: Compounded four times a year.
• Monthly: Compounded every month (a common option for savings accounts and many investments).
• Daily: Compounded every day for the fastest growth.

5. Duration Set the investment timeline by entering the number of Years and Months you plan to stay invested.

6. Add Contributions (Optional) This powerful feature lets you see the impact of making regular deposits or withdrawals.

• Toggle the Switch: Click the “Add contributions (optional)” checkbox to reveal the settings.
• Contribution Type: Choose whether you want to make regular Deposits (add money) or Withdrawals (take money out).
• Contribution Amount & Frequency: Enter the amount for each contribution and select how often you’ll make it (e.g., Monthly, Quarterly, Yearly).

Understanding Your Results

Once you’ve entered your details, the results will instantly appear on the right-hand side.

• Future Investment Value: This is the grand total your investment will be worth at the end of the specified duration.
• Total Interest Earned: This shows how much of your final balance came purely from interest payments.
• Initial Balance: For easy comparison, we show your starting investment amount.

Breakdown Table For a more detailed view, the table at the bottom shows the growth of your investment over time. You can switch between:

• Yearly View: See the interest earned, total contributions, and year-end balance for each year.
• Monthly View: Get a granular, month-by-month breakdown of your investment’s progress.

Download Your Data Want to save your projection for later? Click the Download CSV button to export the breakdown table as a spreadsheet file, which you can open in Excel, Google Sheets, or any other spreadsheet software.

Happy calculating!