Compound Interest Calculator Daily Monthly Yearly, Date to Date
Grow your money with the power of compounding. This compound interest calculator works daily, monthly, quarterly or yearly, adds optional monthly SIP contributions, and can even calculate from one date to another.
Growth over time
The gap between the two lines is the compound interest earned – and it widens every year as interest earns interest.
Year-wise breakdown
| Year | Invested so far | Interest this year | Total interest | Balance |
|---|
Compound interest means you earn interest on your interest, which is why the balance accelerates over time. Choosing a higher compounding frequency – daily rather than yearly – slightly increases the maturity value for the same rate. This is an estimate; actual bank or fund figures may differ slightly due to day-count conventions and rounding.
Compound interest calculator – daily, monthly, yearly
Compound interest is often called the eighth wonder of the world because your money earns interest, and then that interest earns interest too. This compound interest calculator for daily, monthly and yearly compounding shows exactly how much your investment grows, and lets you switch the compounding frequency to see the difference it makes. The more often interest is compounded, the more you earn for the same annual rate.
The compound interest formula
Here A is the maturity amount, P is the principal, r is the annual interest rate as a decimal, n is the number of times interest compounds per year (365 for daily, 12 for monthly, 4 for quarterly, 1 for yearly), and t is the time in years. This calculator applies that formula and, if you add a monthly contribution, compounds each instalment too.
Compound interest calculator with SIP
Want to add a fixed amount every month on top of your principal? Turn on the monthly contribution option to use this as a compound interest calculator with SIP. Each monthly instalment is added to the balance and then compounds at your chosen frequency, just like a recurring mutual fund SIP or a recurring deposit. This shows the true power of combining a lump sum with disciplined monthly investing.
Compound interest calculator from date to date
Need the exact figure between two specific dates rather than a round number of years? Switch on the date option to use this as a compound interest calculator from date to date. Enter your start and end date and the tool works out the precise duration and compounds over that period, which is useful for deposits, loans or investments that do not run for a whole number of years.
How compounding frequency changes your returns
| Compounding | ₹1,00,000 at 10% for 5 years |
|---|---|
| Yearly | ₹1,61,051 |
| Half-yearly | ₹1,62,889 |
| Quarterly | ₹1,63,862 |
| Monthly | ₹1,64,531 |
| Daily | ₹1,64,861 |
Same principal, same rate, same time – only the compounding frequency changes. More frequent compounding earns a little more.
Frequently asked questions
What is compound interest?
Compound interest is interest calculated on both your original principal and the interest already added. Because each period’s interest earns interest in the next period, your money grows faster than with simple interest, especially over long horizons.
How does compounding frequency affect returns?
The more often interest is compounded, the more you earn for the same annual rate. Daily compounding earns slightly more than monthly, which earns more than yearly. This calculator lets you switch between daily, monthly, quarterly, half-yearly and yearly to compare.
Can I calculate compound interest with monthly SIP contributions?
Yes. Turn on the monthly contribution option and enter your SIP amount. The calculator adds each monthly instalment to the balance and compounds it, showing the combined growth of your lump sum and regular investments.
How do I calculate compound interest between two dates?
Switch on the date option and enter a start date and an end date. The calculator measures the exact number of days, converts it to years, and compounds over that precise period – ideal when your investment does not run for a whole number of years.
What is the difference between interest rate and effective yield?
The stated annual rate is the nominal rate. Because of compounding, the actual growth over a year is slightly higher – this is the effective annual yield (APY). The calculator shows both so you can see the real return.
Is compound interest better than simple interest?
For an investor, yes – compound interest grows your money faster because you earn interest on interest. For a borrower it means debt grows faster, which is why understanding compounding matters on both loans and investments.