ToolDox
⚠️

Financial Disclaimer

No Professional Financial Advice: The tools and calculators on this site are provided for educational and informational purposes only. They are not professional financial, legal, tax, or investment advice. The results are mathematical projections based on your inputs and do not guarantee future results.

Your Responsibility: Before making any financial decisions, consult with qualified financial advisors, accountants, or tax professionals. Past performance is not indicative of future results. Market conditions and personal circumstances can significantly affect outcomes.

Accuracy: While we strive for accuracy, we make no warranty about the correctness or completeness of the calculations. Use at your own risk. We are not liable for any financial losses or decisions made based on these tools.

Finance

Compound Interest Calculator

See exactly how your investment grows over time with compound interest. Year-by-year chart included.

Final Amount
£22,196
Total Interest
£12,196
Total Invested
£10,000
Return Multiple
2.22×
Principal
Interest Earned

Related Tools

Salary Calculator
Convert salary across pay periods with international tax est...
Profit Margin Calculator
Calculate gross, net, and operating profit margin. Includes ...
Break-Even Calculator
Find the exact units or revenue needed to cover your costs. ...
VAT Calculator
Add or remove VAT from any price. Supports custom rates and ...

Compound interest formula

A = P × (1 + r/n)^(n×t)

  • A = Final amount
  • P = Principal (starting amount)
  • r = Annual interest rate (decimal)
  • n = Compounding frequency per year
  • t = Time in years

Why compound interest is so powerful

With compound interest, you earn interest on your interest. £10,000 at 8% for 30 years grows to over £100,000 — without adding a single extra pound. Einstein reportedly called it "the eighth wonder of the world."

See Real-World Compound Interest Examples

If you want examples instead of formulas, read Compound Interest Examples UK: From £100 to £1 Million. It walks through delayed starts, ISA and pension wrappers, fee drag, and the long-term cost of leaving money in cash.

Compounding frequency comparison

For a 10,000 investment at 10% for 10 years: annual compounding = 25,937 / monthly = 27,070 / daily = 27,179. The difference between monthly and daily is small; what matters most is the rate and duration.

Related guides and tools