savingsmathA free compound interest calculator: see what regular savings could grow to and how much of it is interest on interest. Move the sliders and watch the two kinds of money: what you put in, and what your money earns on its own. Three inputs, nothing else to set.
If I put away , start with and it grows a year before inflation for ,
I'd have€203,162 in 2056 euros.
Based on 7.0% a year, before inflation, fees and tax. An estimate, not a promise.
That's €46,000 I put in and €157,162 my money earned on its own: +342% on top of what I put in.
Starting a year later would cost me €14,852.
Blue is what you put in. Gold is what your money earned on its own.
Without inflation: as your statement would show it
Use the left and right arrow keys to move through the years.
Of your €203.2K, only €46K is money you put in. Interest on interest makes €98.5K: €50.2K from your starting amount and €48.3K from your savings.
Swipe sideways to see where it ends.
Illustration only, not investment advice. Assumes a steady 7.0% a year; real returns vary.
To have €20,000 in 5 years, about €279 a month.
Spending €1,200 a month takes about €360,000, or about €229 a month from 30 to 60.
Under the 4% rule, €400,000 would pay about €1,333 a month.
With these numbers, the interest you have earned passes the total you paid in during year 14. From then on your money does more of the work than you do.
Before that point, most of your balance is your own money. After it, the curve bends upward because interest starts earning interest of its own. That bend is the whole idea of compounding.
Divide 72 by the yearly return to see roughly how long money takes to double. At 7.0%, that is about 10.3 years.
Your money earns a return, and that return is added to your balance, so next year it earns a return too. At first growth is slow, because most of the balance is money you put in. Over time the earnings on earlier earnings grow larger than your own deposits. With 1,000 to start and 200 a month at 10% a year, that happens in year 13, and after 30 years the balance is about 471,935, of which 73,000 is what you put in. The formula for one amount is A = P × (1 + r/n)^(n × t): starting amount P, yearly rate r, n compounding periods a year, t years. The methodology adds monthly deposits, fees and tax. Time matters most, as starting at 25 instead of 35 shows.
This page keeps three inputs: what you put away, what you start with and the yearly return, with interest added monthly. It answers the basic question of how savings grow. The compound interest calculator for investments adds everything that shapes a real investment: return presets for savings accounts, bonds and index funds, eleven compounding frequencies with the effective yearly rate, fund fees, tax on gains, inflation in today's money, a market risk band and up to three plans side by side. The link under the result opens it with your numbers already filled in, so nothing has to be typed twice.
A quick way to estimate how long money takes to double: divide 72 by the yearly return in percent. At 10% that gives 7.2 years; the exact answer is about 7.27 years. At 7% the rule gives about 10.3 years, which is why a gift invested at birth keeps doubling for decades. The calculator shows the estimate for the return you choose.
No. The calculator runs in your browser and does not send your numbers to a server. They are kept in the page address, so a reload, bookmark or shared link shows the same plan. Anyone you send the link to can see the numbers in it. There is no sign-up and no cookies.
No. The calculator shows how money could grow under the assumptions you choose. It does not know your situation and does not recommend any product or decision. Real returns, fees and tax vary. For decisions about your own money, consider talking to a qualified, independent professional.
It depends on the return and on how long you keep going. With 1,000 to start and 200 a month at 10% a year for 30 years, you would put in 73,000 and end with about 471,935 before fees and tax, or about 224,992 in today's money at 2.5% inflation. A lower return gives a much smaller result, so try a few rates. For smaller amounts, see saving for a child with 100 a month from birth to 18 or what 5 a day becomes in 30 years. These are illustrations; real returns vary.
Grows to about €661,958 by age 70 at 7% a year, with nothing added.
Worth about €17,563 on the 18th birthday at 7% a year.
About €43,072 by the 18th birthday at 7% a year.