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

Consider These 3 Things Before Driving Off the Lot

Consider These 3 Things Before Driving Off the Lot

Here are 3 quick tips to keep in mind when buying or leasing your next vehicle.

How to Retire Early

How to Retire Early

Retiring early sounds like a dream come true, but it’s important to take a look at the cold, hard facts.

Ways to Manage Your Money and Taxes in Retirement

Ways to Manage Your Money and Taxes in Retirement

Careful planning and tax-efficient drawdown strategies can help you enjoy the lifestyle you've dreamed of in retirement.