📈 Compound Interest

Calculate how your investment grows with compound interest over time.

Investment Details

\u20B91,00,000
8%
10 years
\u20B90

Total Amount

\u20B90

Total Interest

\u20B90

Principal Invested

\u20B90

Wealth Gained (%)

0%

Principal
Interest

📊 Year-by-Year Growth

YearOpening BalanceInterest EarnedClosing Balance

About This Tool

Compound Interest Calculator

Calculate how your investments grow over time with the power of compounding — the most fundamental concept in wealth building.

Why Use This Tool?

  • See how much your savings or investments will grow over 5, 10, or 20 years
  • Compare different compounding frequencies (monthly, quarterly, annually)
  • Plan your retirement corpus or financial goals with precise projections
  • Understand the real cost of loans that use compound interest
  • Used by investors, students, and financial planners to model wealth growth

Overview

Compound interest is the foundation of long-term wealth creation. Unlike simple interest that only grows on your principal, compound interest grows on both your principal and the accumulated interest — creating exponential growth over time. Our Compound Interest Calculator lets you model exactly how any investment will grow given a starting amount, annual interest rate, compounding frequency, and time period. Whether you are planning for retirement, a child's education, or comparing different investment options, this tool gives you precise projections.

How to Use

  • 1

    Enter Principal Amount

    Type the initial investment amount (e.g., ₹1,00,000).

  • 2

    Set Annual Interest Rate

    Enter the expected annual rate of return (e.g., 10 for 10%).

  • 3

    Choose Compounding Frequency

    Select Daily, Monthly, Quarterly, or Annually — more frequent compounding yields higher returns.

  • 4

    Enter Time Period

    Input the investment horizon in years.

  • 5

    View Results

    See final amount, total interest earned, and year-by-year growth table.

Frequently Asked Questions

Divide 72 by the annual interest rate to estimate years to double your money. At 8% p.a., money doubles in ~9 years.
More frequent compounding (daily vs. annually) increases effective returns. The difference is small at low rates but significant over long periods.
The effective annual rate (EAR) accounts for compounding within a year. An 8% nominal rate compounded monthly has an EAR of ~8.3%.
This calculates returns on a lump sum. For monthly SIP investments, use our dedicated SIP Calculator which handles recurring contributions.
Yes. Subtract the inflation rate from your nominal rate to get real returns. If rate = 10% and inflation = 6%, real return ≈ 4%.