Compound Interest
What monthly investing becomes in 10 years
Loadingโฆ
Was this tool helpful?
About this tool
Enter a starting amount, a monthly contribution, an annual return rate, and a term, and this shows how much you would end up with if it grew every month at that compound rate. The result splits the final total into invested principal and compound gain, and a year-by-year bar chart shows the gain stacking on top of the principal.
How to use
- Enter a starting amount (0 if none).
- Enter the amount you add each month (0 if none).
- Enter the annual return (%) and the term in years.
- Check the final amount, the principal-versus-gain split, and the year-by-year chart.
Frequently asked questions
- What exactly does monthly compounding mean?
- Each month, the balance built up so far is multiplied by the annual rate divided by 12, and that interest is added along with that month's new contribution. Because the interest gets folded into the balance, next month it earns interest too.
- What annual return rate should I enter?
- There is no fixed value. For a deposit or installment account, use the bank rate; for stocks or funds, use a past average return or a target return you supply yourself. Real investment returns vary year to year, so this is only a simulation that assumes a constant rate.
- Are taxes or fees included?
- No. This is a simple simulation assuming a fixed monthly compound rate. Taxes, fees, and market volatility are not reflected, and this is not investment advice.
- Is the amount I enter sent to a server?
- No. Everything is calculated in your browser and your input never leaves the page.
This is a simple simulation assuming monthly compounding. Taxes, fees, and market volatility are not reflected, and this is not investment advice or a guarantee of returns.