Simple & Compound Interest Calculator
Project long-term compound interest gains and loan interest with full growth schedules.
Year-by-Year Growth Schedule
| Year | Year Interest | Total Interest | Ending Balance |
|---|
How to Use Interest Calculator
- Select either Compound Interest or Simple Interest mode.
- Enter your starting principal investment or loan amount.
- Input your annual interest rate percentage and investment term in years and months.
- Choose compound frequency (monthly, daily, quarterly, or annually) and review the annual growth table.
Technical Specifications & How It Works
Compound interest follows the formula: A = P(1 + r/n)^(nt), where compounding interest generates earnings on previously earned interest.
The Annual Percentage Yield (APY) reflects the true annualized return considering compounding frequency.
All schedule calculations run client-side in browser RAM without server submission.
Frequently Asked Questions
What is compound interest?
Compound interest is interest earned on both the initial principal and the accumulated interest from preceding compounding periods.
How does compound interest differ from simple interest?
Simple interest calculates returns exclusively on the original principal (I = P × r × t), whereas compound interest grows exponentially.
How is APY calculated?
APY is calculated as (1 + r/n)^n - 1, showing the effective annual growth rate taking compounding into account.