Future value
₹2,68,506
Balance after 10 years at 10% compounded quarterly.
Compound Interest Calculator
Calculate how a lump sum grows with compound interest, using any rate, time period, and compounding frequency from yearly to daily.
Under 20 seconds
Updated 22 Aug 2026
12,450people used this
Results dashboard
Interest earned
₹1,68,506
62.8% of the future value.
Principal
₹1,00,000
The amount you started with.
Interest percentage
62.8%
Growth on principal is 168.5%; effective annual yield 10.38%.
A compound interest calculator shows what a lump sum grows to when interest is added back to the balance and then earns interest itself. It applies A = P(1 + r/n)^nt, so the calculated future value and interest earned depend on the rate, the time period, and how often interest is compounded.
Visual breakdown
A visual view of your calculation.
Interactive charts arrive here soon.
Year-by-year growth
Opening balance, interest credited, and closing balance each year with quarterly compounding.
| Year | Opening balance | Interest | Interest to date | Closing balance |
|---|---|---|---|---|
| 1 | ₹1,00,000 | ₹10,381 | ₹10,381 | ₹1,10,381 |
| 2 | ₹1,10,381 | ₹11,459 | ₹21,840 | ₹1,21,840 |
| 3 | ₹1,21,840 | ₹12,649 | ₹34,489 | ₹1,34,489 |
| 4 | ₹1,34,489 | ₹13,962 | ₹48,451 | ₹1,48,451 |
| 5 | ₹1,48,451 | ₹15,411 | ₹63,862 | ₹1,63,862 |
| 6 | ₹1,63,862 | ₹17,011 | ₹80,873 | ₹1,80,873 |
| 7 | ₹1,80,873 | ₹18,777 | ₹99,650 | ₹1,99,650 |
| 8 | ₹1,99,650 | ₹20,726 | ₹1,20,376 | ₹2,20,376 |
| 9 | ₹2,20,376 | ₹22,878 | ₹1,43,254 | ₹2,43,254 |
| 10 | ₹2,43,254 | ₹25,253 | ₹1,68,506 | ₹2,68,506 |
Smart Insights
Generated from the numbers you entered — no guesswork.
- ₹1,00,000 grows to about ₹2,68,506 in 10 years at 10% compounded quarterly.
- Interest of ₹1,68,506 is 168.5% of the principal and 62.8% of the final balance.
- Because interest is added quarterly, the effective annual yield is 10.38% rather than the nominal 10%.
- Compounding earns ₹68,506 more than simple interest on the same money, which would have paid ₹1,00,000.
- The estimate assumes the rate stays fixed for the whole period and ignores tax, charges, and inflation.
How does the Compound Interest Calculator work?
Each step the calculator runs, in plain language.
- 1
What compound interest is
Compound interest is interest earned on both your principal and the interest already credited. Each period starts from a larger balance, so growth accelerates over time.
- 2
Applying the formula
Divide the annual rate by the number of compounding periods per year, add 1, and raise it to the power of total periods. Multiplying by the principal gives the future value; subtracting the principal gives the interest earned.
- 3
Why frequency changes the answer
The more often interest is credited, the sooner it starts earning interest itself. That is why 10% compounded quarterly yields about 10.38% a year, and daily compounding a little more still.
- 4
Compound vs simple interest
Simple interest pays only on the original principal, so it grows in a straight line. Compound interest curves upward, and the gap widens sharply over long periods.
Compound Interest Calculator formula
The exact maths behind every number on this page.
A = P × (1 + r ÷ n)^(n × t) • Interest = A − P
- A
- Future value — the balance at the end of the period
- P
- Principal, the amount invested at the start
- r
- Annual nominal interest rate as a decimal (10% → 0.10)
- n
- Compounding periods per year (1 yearly, 2 half-yearly, 4 quarterly, 12 monthly, 365 daily)
- t
- Time in years
Simple interest would be P × r × t. The difference between the two is what compounding adds, because each period's interest earns interest afterwards.
Compound Interest Calculator calculation example
₹1,00,000 invested for 10 years at 10% a year, compounded quarterly.
- 1Principal (P)₹1,00,000
- 2Rate (r)10 ÷ 100 = 0.10
- 3Frequency (n)4 (quarterly)
- 4Periods (n × t)4 × 10 = 40
- 5Growth factor(1 + 0.10 ÷ 4)^40 = 1.0250^40 = 2.685
- 6Future value (A)1,00,000 × 2.685 = ₹2,68,506
The balance grows to about ₹2,68,506, so interest earned is ₹1,68,506 — well above the ₹1,00,000 that simple interest would have paid on the same amount.
Important assumptions
What this calculation includes, and what it leaves out.
- The rate and the compounding frequency you enter stay unchanged for the whole period.
- One lump sum is invested at the start, with no further contributions and no withdrawals.
- Interest is credited exactly n times a year, using a 365-day convention for the daily option and ignoring leap-year and day-count variations banks may apply.
- Figures are before tax, TDS, fees, and inflation, so the real post-tax value will be lower.
Benefits
Why people use this calculator before signing a loan.
Any product, any frequency
Model deposits, bonds, or loans with yearly, half-yearly, quarterly, monthly, or daily compounding.
See the effective yield
Compare offers fairly by looking at the effective annual yield instead of the advertised nominal rate.
Year-by-year visibility
The growth table and chart show exactly when compounding starts making a large difference.
Honest about limits
Results are pre-tax, ignore charges and inflation, and assume the rate never changes during the period.
Financial tips
Practical guidance to act on your result.
- Time matters more than rate: doubling the period usually adds more than adding a percentage point.
- Compare products on effective yield, not the headline rate — quarterly compounding beats yearly at the same nominal rate.
- Reinvest interest instead of withdrawing it; withdrawals turn compound growth into simple growth.
- Subtract expected inflation from the rate to judge whether the money is really gaining purchasing power.
Frequently asked questions
Short, direct answers to the questions we hear most.
Read the thinking behind it
Guides that explain how to use this calculation in a real decision.
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Why compounding frequency changes your maturity value
Monthly, quarterly and annual compounding compared on the same deposit — and what to compare instead of the headline rate.
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Disclaimer
CalPaisa calculators are for general information and planning only. Results are estimates based on the values you enter and standard formulas, and may differ from the figures your bank, employer, or tax authority applies. Nothing here is investment, tax, or legal advice. Please confirm important decisions with a qualified professional. Read our financial disclaimer, learn how CalPaisa works, or tell us about a calculation you think is wrong.