Compound Interest Calculator

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📖 How to Use

Compound Interest Calculator

  • Principal: The principal is the initial amount you invest at the start.
  • Investment Period: The investment period refers to how long the compounding will be applied.
  • Interest Rate: Enter the annual interest rate as a percentage.
  • Click the Calculate button to see your results.

Monthly Compound Calculator

  • Starting Amount: The starting amount is your initial investment value.
  • Monthly Contribution: Monthly contribution is the amount you add every month.
  • Investment Period: The investment period is the total length of your investment.
  • Interest Type: Interest can be set to compound annually or monthly.
  • Compounding Frequency: Choose between monthly and yearly compound interest options.

Input Limits

  • Principal / Starting Amount: You can enter up to 1 billion KRW as principal.
  • Monthly Contribution: Monthly contributions can go up to 100 million KRW.
  • Investment Period / Duration: Investment period is limited to a maximum of 50 years.
  • Interest Rate: Interest rates are limited to a maximum of 200%.
  • Months: Monthly input supports up to 120 months.

※ Values exceeding the input limits will be automatically restricted.

⚙️ How It Works

Compound Interest Formula

Final Amount = Principal × (1 + Interest Rate)^Period

Example: If you invest ₩10,000,000 at 5% annual interest for 10 years: Final Amount = 10,000,000 × (1 + 0.05)^10 = ₩16,288,946

Compound Interest with Regular Contributions

Monthly Compounding: Interest is compounded every month and added to the principal for the next calculation.

Annual Compounding: Interest is compounded once every year.

Interest Rate Conversion

  • If entering annual rate: Monthly Rate = Annual Rate ÷ 12
  • If entering monthly rate: Use as is.
❓ Frequently Asked Questions (FAQ)

1. What is the difference between simple and compound interest?

Simple interest applies only to the principal, while compound interest earns interest on both the principal and accumulated interest, resulting in exponential growth over time.

2. Does compound interest apply to monthly contributions?

Yes. With monthly investing, every contribution earns interest, and the effect compounds over time. The longer you invest, the greater the benefit.

3. Is the interest rate based on an annual rate?

Yes. The calculator uses an annual interest rate by default. Enter the percentage rate and select whether compounding occurs monthly or yearly.

4. What types of investments can this calculator be used for?

You can use it for savings accounts, installment savings, stock investments, mutual funds, pension plans, and any investment that involves regular contributions.

5. What should I consider when using this calculator?

Actual investment returns may vary due to taxes, fees, and market fluctuations. The results should be used for reference and planning purposes only.

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Experience the power of compounding! CoinStockCalc’s calculator shows how regular contributions and compound interest can grow your wealth. A must-have for long-term investors!