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Compound interest calculator
Compare how an initial amount may grow on its own and with regular contributions. Adjust the four assumptions to explore an educational example.
The amount invested at the start.
The amount added at the end of each contribution period.
An effective annual return for this illustration.
The length of time the money remains invested.
Projected balance
Hover, touch and drag, or use your keyboard to inspect both balances.
Formula used by this calculator
The calculator converts the effective annual return into a return for each contribution period, then adds each contribution at the end of that period.
Periodic return
Balance with regular contributions
Current values: P = $10,000, C = $500, i = 0.07 (7%), m = 12, t = 20, N = 240.
A is the ending balance, P is the starting amount, C is each contribution, j is the periodic return, N = mt is the number of contribution periods, f is the annual fee, and π is annual inflation. When j is zero, the contribution part is simply CN.
Common questions
Compound interest means a return is applied to the starting amount and to earlier returns that remain in the balance.
No. Every return, inflation and fee figure is an educational assumption. Actual outcomes can be higher or lower.
The calculator adds each contribution at the end of the selected contribution period.
No. It does not model tax, franking credits, account types or personal circumstances.