Compound Interest Calculator

This calculator demonstrates the power of compound interest over time. Unlike Pablo Escobar, who famously kept all his assets in cash due to distrust in other storage options, investing your money and letting it grow with compound interest can significantly enhance your wealth.

How to Use Compound Interest Calculator:

Enter Your Initial Deposit:

Input the amount you’re starting with. This is the seed money that will grow over time through compounding.

Choose Your Contribution Type:

Select whether you’ll make monthly or annual contributions. Then, enter the amount you plan to add to your investment regularly.

Set the Investment Time Frame:

Decide how long you intend to invest for. The longer the period, the more compounding can work its magic.

Estimate Your Rate of Return:

Enter your expected annual rate of return as a percentage. This could be based on historical returns of similar investments or personal projections.

Select Your Compound Frequency:

Choose how often interest will be compounded – daily, weekly, monthly, or annually. More frequent compounding results in faster growth of your investment, but is unrealistic.

Watch the Magic Happen:

After entering your data, the calculator will show you the total accrued principal and interest. It provides a detailed breakdown in both numerical and graphical formats, showing how your initial deposit, contributions, and interest grow over time.