Compound Interest Calculator Definition
Looking to see how much your money can grow? We'll use this compound interest calculator to figure it out instantly. Compound interest is where the interest you earn each year is added to your principal, so the balance does not merely grow, it will grow at an increasing rate. It is one of the most useful concepts in the financial world.
Compound interest is the bases of where everything from long term growth of stocks and personal savings plans start. it also will account effects of inflation and the importance of paying off your debts. Below, we will take you through a few steps on how to use this compound interest calculator.
First, pick your compounding; the choices are annually, half-yearly or quarterly.
Second, put in your principal dollars.
Third, add in your rate percentage.
Fourth, add in your time in units, years, months or days. Then add in the number amount of years, months or days.
Click CALCULATE and your INTEREST will be given at the bottom of the compound interest calculator. This is 100% free and easy to use. All information is confidential and nothing is stored on our website.