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 an asset.

Savings
Initial balance or deposit ($)
Annual savings amount ($)
Assumptions
Annual increase in contributions (0% to 10%)
Number of years for the analysis(1 to 50)
Before-tax return on savings (-12% to 12%)