Compound Interest Calculator
Investment Details
Quick Calculations
Retirement
$1,000/mo
7% for 30 years
College Fund
$300/mo
5% for 18 years
Emergency Fund
$200/mo
3% for 5 years
Wealth Building
$2,000/mo
8% for 20 years
Investment Results
Future Value
$312,909.67
Total value after investment period
Total Contributions
$130,000.00
Principal amount invested
Total Interest Earned
$182,909.67
Interest earned on investment
Annual Growth Rate
7.00%
Average annual return
Rule of 72 (?)
Number of years for investment to double: 72 ÷ interest rate
10.3 years
Time to double your money
Growth Visualization
Growth Timeline
About Compound Interest
Compound interest is the interest calculated on the initial principal and also on the accumulated interest of previous periods. It's often called "interest on interest" and is the key to long-term wealth building.
The Power of Compounding:
- Time is your greatest asset: The longer your money compounds, the more it grows exponentially
- Regular contributions amplify growth: Adding money regularly dramatically increases your final balance
- Small differences in rates matter: A 1% higher return can mean hundreds of thousands more over decades
- Start early: Starting just 5 years earlier can double your results
The Rule of 72: A quick way to estimate how long it takes for an investment to double. Divide 72 by your annual interest rate.
Note: This calculator provides estimates only. Actual investment returns may vary. Past performance does not guarantee future results. Always consult with a qualified financial advisor.