Finance
Interest Calculator
Calculate simple and compound interest on your savings or loans.
How to Use
- Select whether you want to calculate Compound or Simple interest.
- Enter the initial Principal Amount.
- Enter the Annual Percentage Yield or Rate (APY/APR).
- Enter the time period in years or months.
- If using compound interest, select how often the interest is applied (e.g. Monthly).
Formula
Compound Interest Formula:
A = P(1 + r/n)nt
Simple Interest Formula:
A = P(1 + rt)
Where:
A = Total Future Value
P = Principal Amount
r = Annual Interest Rate (decimal)
n = Number of compounding periods per year
t = Time in years
A = P(1 + r/n)nt
Simple Interest Formula:
A = P(1 + rt)
Where:
A = Total Future Value
P = Principal Amount
r = Annual Interest Rate (decimal)
n = Number of compounding periods per year
t = Time in years
The Interest Calculator demonstrates the power of compound interest on investments and savings accounts, or the cost of simple interest on fixed loans. By breaking down total returns and principal, it helps visualize long-term financial growth.