Compound Interest Calculator
See how your money grows over time. The earlier you start, the more powerful compounding becomes.
Calculate My ReturnsThe Power of Compounding: An Example
Invest $10,000 at 7% annual return:
Your $10,000 grows to nearly $150,000 - that's 15x your original investment!
Why Compound Interest Matters
Time Is Your Friend
The earlier you start, the more time your money has to compound. 10 years makes a huge difference.
Exponential Growth
Your money doesn't grow linearly - it accelerates. The longer you wait, the faster it grows.
Consistency Wins
Regular monthly contributions, even small ones, add up dramatically over decades.
Frequently Asked Questions
How does compound interest work?▼
Compound interest means you earn interest on your interest. $1,000 at 7% becomes $1,070 after year 1. Year 2, you earn 7% on $1,070, not $1,000. Over decades, this snowball effect is powerful.
What is the Rule of 72?▼
Divide 72 by your interest rate to estimate doubling time. At 7%: 72÷7 = ~10 years to double. At 10%: 72÷10 = ~7 years.
How much should I save monthly to become a millionaire?▼
At 7% return: save $400/month for 40 years, or $900/month for 30 years, or $2,000/month for 20 years. Starting early is key.
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