This is a worked example. Change the values, then press Calculate.
The simplest compound growth question, what does a lump sum become after N years at a given rate, this calculator answers it directly with the full compounding breakdown.
This is the standard compound interest formula applied to a single lump sum with no ongoing contributions, projecting how much a present value grows to after a given number of years at a specified annual rate and compounding frequency.
The same nominal annual rate produces a higher future value with more frequent compounding, monthly compounding earns slightly more than annual compounding at the identical stated rate, because interest gets calculated and added to the balance more often, meaning subsequent interest calculations are based on a slightly larger, already-grown balance.
Yes, more frequent compounding (monthly vs annual, for example) produces a slightly higher future value at the identical stated annual rate, because interest is calculated and added to the balance more often, letting subsequent interest compound on a larger base sooner.
This calculator handles a single lump sum with no further contributions, while a future value of annuity calculator handles a series of equal periodic payments, use this one if you’re not adding any more money after the initial investment.