Compound Interest
With monthly contributions
$
$
%
📅
🔄
Future Value
$0
Total Invested: $0
Interest Earned: $0
The Power of Compound Interest
Albert Einstein reportedly called compound interest "the eighth wonder of the world." Your money earns returns, and those returns also earn returns—creating exponential growth over time.
The Compound Interest Formula
A = P(1 + r/n)^(nt) + PMT × [((1 + r/n)^(nt) - 1) / (r/n)]
Where:
• A = Final amount
• P = Principal (initial investment)
• r = Annual interest rate
• n = Compounding frequency per year
• t = Time in years
• PMT = Monthly payment
Why Start Early?
$10,000 invested at age 25 with 8% return becomes:
- At age 35: $21,589
- At age 45: $46,610
- At age 55: $100,627
- At age 65: $217,245