Calculate compound growth
- Enter a single initial amount and a fixed annual nominal rate.
- Choose years and the compounding frequency.
- Calculate, review the balance curve and every checkpoint, then download the timeline if useful.
Formula and example
A = P × (1 + r ÷ n)n × t, where P is the starting amount, r is the annual rate as a decimal, n is periods per year and t is years. Interest or loss is A − P. For 1,000 units at 10% compounded annually for 2 years, the result is 1,210 units, including 210 interest.
The formula appears in HDFC Bank’s compound-interest explanation. Investor.gov’s compound calculator also distinguishes annual rates and compounding frequency.
Assumptions and limits
The annual rate is nominal: each period uses r ÷ n. Daily means 365 equal periods every year, including leap years. Fractional years use a fractional exponent, an idealized growth model; actual institutions may treat partial periods differently. No additional contributions, withdrawals, fees, taxes or inflation are included. Bounds: initial amount 0.01–1 trillion units, rate −90% to 100%, and duration 0–50 years.
This is an estimate, not advice, a deposit quote or guaranteed investment return. Compare the rate convention and rounding with your agreement. The CSV includes the initial amount, nominal rate, duration and compounding frequency with year zero, whole-year checkpoints and a final fractional-year endpoint when applicable; values export rounded to six decimals; very large estimates have limited numerical precision and may use scientific notation. All inputs remain in browser memory without uploads or stored financial data. Reset clears output and restores illustrative defaults. Undo reset recovers your inputs, currency search, calculated result and checkpoint-table view. Editing an input discards that recovery step.
Is the annual rate the same as an effective annual yield?
No. With nominal rate r and n periods, effective annual growth is (1 + r ÷ n)n − 1. Monthly nominal 12% grows about 12.68% over one year.
Can I add a monthly contribution?
This tool models one starting amount. Use the SIP calculator for regular monthly investments and its effective annual return convention.