How Compound Interest Works

Compound interest can have a dramatic effect on the growth of an investment. Use this calculator to illustrate the potential impact of compound interest on the future value of your assets.

Investment Details

$0 $10,000,000
$0 $10,000,000
1 100

Results

Investment Breakdown

$68,857
Future Value

Future Value

$0
Total Contributions
$0
Total Interest Earned
$0

"Compound interest is the eighth wonder of the world. He who understands it, earns it…he who doesn't, pays it."

- Albert Einstein

This is a hypothetical example used for illustrative purposes only. It is not representative of any specific investment or combination of investments. This worksheet provides estimates based on certain assumptions. It is not intended to provide specific investment advice. The results are not a guarantee of performance or specific investment advice. The rate of return on investments will vary over time, particularly for longer-term investments. Investments that offer the potential for high returns also carry a high degree of risk. Actual returns will vary.

Have A Question About This Topic?

Thank you! Oops!

Related Content

Red Flags for Tax Auditors

Red Flags for Tax Auditors

Here are six flags that may make your tax return prime for an IRS audit.

Ways to Supplement Your Medicare Coverage

Ways to Supplement Your Medicare Coverage

There are numerous ways to supplement your Medicare insurance coverage. This article helps you explore your options.

A Taxing Story: Capital Gains and Losses

A Taxing Story: Capital Gains and Losses

Understanding how capital gains are taxed may help you refine your investment strategies.

This website uses tracking technologies to enable our website functionalities, to enhance user experience or to analyze performance and traffic. We may also share information about your use of our site with our analytics partners. We do not sell your information or share it for purposes of cross-contextual advertising. For more details on the data we process, see our Privacy Policy.