Simple vs Compound Interest Calculator

simple interest versus compound interest

Use this calculator to compare the difference between simple interest and compounding interest. Simple interest means that interest is paid (or charged in the case of a loan) on the original principal amount only. Compound interest on the other hand means that interest is paid (or charged) on the principal amount plus on the interest as well. By inputting different values in the fields below you will see that interest rates may not be the only thing to consider in terms of evaluating an investment or mortgage product. For information on home financing solutions offering simple interest payments please Contact Us.

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Compare simple interest vs. compound interest:
SIMPLE INTEREST
(simple % on a one-time deposit)
1

Invested Capital:

(principal sum of money invested.)

$
2

Interest Rate:

(avg. yearly earnings on investment.)

%
3

Time Horizon:

(no. of years to grow the investment.)

years
4

Interest Earned:

(interest % growth earned on principal.)

5

Future Value:

(simple interest %
+ principal sum.)

COMPOUND INTEREST
(compound % on a one-time deposit)

Invested Capital:

(principal sum of money invested.)

$

Interest Rate:

(avg. investment earnings yearly.)

%

Time Horizon:

(no. of years to grow investment.)

years

Interest Earned:

(% interest growth on principal.)

Future Value:

(compounded %
+ principal sum.)



DISCLAIMER: The administrator and owner of this website take no responsibility for any financial decisions made based upon the use of this calculator. The information provided by this calculator is intended solely for general information and educational purposes. Rates of return may fluctuate over time and especially for long-term investments. Final calculated results are not guaranteed to be completely accurate and are in no way endorsed, offered or guaranteed by Savii Financial Concepts. Copyright 2009 Saviifinancial.com ©

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