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See how compounding grows a balance over time.
Enter principal, rate, time and how often interest is added.
A = P x (1 + r/n)^(n x t)
Each period's interest is added to the balance and earns interest itself. The more often interest is compounded, the higher the effective yield.
1,00,000 invested for 10 years at 8%, compounded annually.
The balance grows to about 2,15,900, of which 1,15,900 is interest.
Yes, though the gain shrinks quickly. Moving from annual to monthly compounding matters far more than moving from monthly to daily.
Divide 72 by the annual return to estimate how many years it takes money to double. At 8% that is about nine years, which matches this calculator closely.
No, this page compounds a single lump sum. For monthly contributions use the SIP calculator.
Interest that does not compound, calculated instantly.
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