Compound Interest Calculator
Simple or compound interest on any amount, with the two compared side by side.
₹1,000₹1,00,000₹1,00,00,000
%
1830
yrs
11040
Total Amount
₹2,15,892
Principal
₹1,00,000
Compound Interest
₹1,15,892
Simple vs compound interest
| Metric | Simple | Compound (yearly) |
|---|---|---|
| Interest earned | ₹80,000 | ₹1,15,892 |
| Total amount | ₹1,80,000 | ₹2,15,892 |
Compounding earns ₹35,892 more over 10 years, because interest is earned on past interest too.
Growth, year by year
| Year | Deposit | Total invested | Interest earned | Balance |
|---|---|---|---|---|
| Year 1 | ₹1,00,000 | ₹1,00,000 | ₹8,000 | ₹1,08,000 |
| Year 2 | - | ₹1,00,000 | ₹16,640 | ₹1,16,640 |
| Year 3 | - | ₹1,00,000 | ₹25,971 | ₹1,25,971 |
| Year 4 | - | ₹1,00,000 | ₹36,049 | ₹1,36,049 |
| Year 5 | - | ₹1,00,000 | ₹46,933 | ₹1,46,933 |
| Year 6 | - | ₹1,00,000 | ₹58,687 | ₹1,58,687 |
| Year 7 | - | ₹1,00,000 | ₹71,382 | ₹1,71,382 |
| Year 8 | - | ₹1,00,000 | ₹85,093 | ₹1,85,093 |
| Year 9 | - | ₹1,00,000 | ₹99,900 | ₹1,99,900 |
| Year 10 | - | ₹1,00,000 | ₹1,15,892 | ₹2,15,892 |
Simple interest formula
SI = P × R × T / 100, where P is the principal, R the annual rate and T the time in years. Interest is earned only on the original amount, so it grows by the same amount every year.
Compound interest formula
A = P × (1 + R/(100 × n))n × T, and CI = A − P, where nis how many times a year interest is added. Each period's interest is added to the balance and earns interest itself. The gap grows with time and with more frequent compounding.