Calculate compound interest with our free CI calculator using accurate formulas. Understand how your investments grow exponentially with compound interest over time. This calculator supports multiple compounding frequencies including annual, quarterly, monthly, and daily compounding. Perfect for calculating returns on fixed deposits, recurring deposits, PPF, mutual funds, and other investment instruments. See the power of compounding - how interest on interest makes your money grow faster than simple interest. Essential tool for long-term investment planning, retirement corpus building, and understanding time value of money. Compare different compounding frequencies to maximize your returns. Includes detailed breakdown of principal, interest earned, and total maturity amount with step-by-step calculation methodology.
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More frequent compounding = higher returns
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A = P(1 + r/n)^(nt)
Compound Interest = A - P
Where:
• A = Final amount (maturity value)
• P = Principal amount (initial investment)
• r = Annual interest rate (in decimal, e.g., 8% = 0.08)
• n = Number of times interest is compounded per year
• t = Time period in years
| Frequency | Times/Year (n) | ₹1L @ 10% for 10yrs | Difference |
|---|---|---|---|
| Annually | 1 | ₹2,59,374.00 | Base |
| Half-Yearly | 2 | ₹2,65,330.00 | +₹5,956.00 |
| Quarterly | 4 | ₹2,68,506.00 | +₹9,132.00 |
| Monthly | 12 | ₹2,70,704.00 | +₹11,330.00 |
| Daily | 365 | ₹2,71,791.00 | +₹12,417.00 |
*More frequent compounding always yields higher returns
| Years | ₹1L @ 8% | ₹1L @ 10% | ₹1L @ 12% | ₹1L @ 15% |
|---|---|---|---|---|
| 5 years | ₹1,46,933.00 | ₹1,61,051.00 | ₹1,76,234.00 | ₹2,01,136.00 |
| 10 years | ₹2,15,892.00 | ₹2,59,374.00 | ₹3,10,585.00 | ₹4,04,556.00 |
| 15 years | ₹3,17,217.00 | ₹4,17,725.00 | ₹5,47,357.00 | ₹8,13,706.00 |
| 20 years | ₹4,66,096.00 | ₹6,72,750.00 | ₹9,64,629.00 | ₹16,36,654.00 |
| 25 years | ₹6,84,848.00 | ₹10,83,471.00 | ₹17,00,006.00 | ₹32,91,895.00 |
| 30 years | ₹10,06,266.00 | ₹17,44,940.00 | ₹29,95,992.00 | ₹66,21,177.00 |
*Annual compounding. Notice how returns accelerate with higher rates and longer time periods.
The Rule of 72 is a simple way to estimate how long it takes to double your money. Divide 72 by the annual interest rate to get approximate years.
| Interest Rate | Years to Double (Rule of 72) | Actual Years |
|---|---|---|
| 6% | 72 ÷ 6 = 12 years | 11.9 years |
| 8% | 72 ÷ 8 = 9 years | 9.0 years |
| 10% | 72 ÷ 10 = 7.2 years | 7.3 years |
| 12% | 72 ÷ 12 = 6 years | 6.1 years |
| 15% | 72 ÷ 15 = 4.8 years | 4.96 years |
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