Using the CD Calculator
Check whether the quoted bank rate is APY or a nominal interest rate. This tool compounds a nominal annual rate monthly. It can illustrate accumulation, but the account’s actual compounding rules and interest-crediting dates govern what the bank pays.
Worked example
Use the example inputs below to reproduce this result. These are the form's starting values, not recommended targets. Changing your inputs updates your result above; this worked example stays fixed for comparison. Results are rounded for display.
Example inputs
- Starting balance
- 10000
- Monthly contribution
- 200
- Annual nominal return (%)
- 5
- Years
- 10
Example result
- Future balance
- 47,526.55
- Total contributions
- 34,000
- Growth
- 13,526.55
Method and assumptions
Monthly compounding with end-of-month contributions and a constant nominal annual rate. Taxes, fees and market fluctuations are excluded.
Separate contributions from growth
An ending balance can grow because you put more money in, because the assumed return is higher, or because the money has more time to compound. Those are different effects. Keep the contribution schedule consistent when comparing rates, and distinguish a mathematical projection from a return that is contractually guaranteed. Fees and taxes need their own assumptions.
Common question
Why is there a monthly contribution field?
It supports an add-on savings scenario. Most traditional CDs do not accept regular additions, so leave that field at zero unless your account explicitly permits them.
Guide updated .