Compound Interest Calculator
Project investment growth with initial deposit, monthly contributions, and annual interest.
Frequently Asked Questions
How is compound interest calculated here?
Interest compounds monthly. Future value = P*(1+r/12)^(12n) + C * [((1+r/12)^(12n) - 1) / (r/12)], where P is principal, C is monthly contribution, r is annual rate, and n is years.
Does it account for taxes or inflation?
No. This shows nominal returns. Subtract your expected tax rate and inflation rate from the annual return for a real-value projection.
What is a realistic annual return?
Historically, the S&P 500 has returned around 10% annually before inflation (about 7% real). High-yield savings is typically 3-5%.