Compound Interest Calculator
Calculate compound interest at any frequency. Free Indian compound interest calculator with annual, half yearly, quarterly, monthly and daily compounding.
உங்கள் முடிவைக் கணக்கிடுங்கள்
உங்கள் எண்களை உள்ளிடுங்கள். மாற்றும்போது மதிப்பீடும் வரைபடங்களும் புதுப்பிக்கும்.
உள்ளீடுகள்
- எதிர்கால மதிப்பு
- ₹2,20,804
- ₹2.21L
- ஈட்டிய வட்டி
- ₹1,20,804
- பயனுள்ள வருடாந்திர விகிதம்
- 8.243%
உங்கள் கணக்குகள் சொல்வது என்ன
Interest makes up 55% of your final amount.
You put in ₹1L and compounding adds ₹1.21L on top — the longer you stay invested, the bigger this share grows.
Staying invested 5 more years would add ₹1.07L.
Growth speeds up over time because interest keeps earning interest; your amount would reach ₹3.28L.
Compounding more often than yearly adds ₹4,911 here.
Your effective yearly rate is 8.24% versus the 8.00% quoted rate — frequency helps, but the rate and time invested matter far more.
In today's money, that's worth about ₹1,23,296.
This assumes 6% yearly inflation — prices rise too, so your real gain is smaller than the headline number.
கூட்டுவட்டி வளர்ச்சி
மதிப்பிடப்பட்ட மதிப்பு, முதலீட்டுத் தொகை ஒப்பீடு. தொகைகள் ரூபாயில்.
வரைபடத் தரவைக் காண்க
| ஆண்டு | முதலீட்டுத் தொகை | மதிப்பிடப்பட்ட மதிப்பு |
|---|---|---|
| 0 | ₹1,00,000 | ₹1,00,000 |
| 1 | ₹1,00,000 | ₹1,08,243 |
| 2 | ₹1,00,000 | ₹1,17,166 |
| 3 | ₹1,00,000 | ₹1,26,824 |
| 4 | ₹1,00,000 | ₹1,37,279 |
| 5 | ₹1,00,000 | ₹1,48,595 |
| 6 | ₹1,00,000 | ₹1,60,844 |
| 7 | ₹1,00,000 | ₹1,74,102 |
| 8 | ₹1,00,000 | ₹1,88,454 |
| 9 | ₹1,00,000 | ₹2,03,989 |
| 10 | ₹1,00,000 | ₹2,20,804 |
The input is a nominal annual rate, divided by the selected compounding frequency. Fractional years use fractional compounding periods; actual deposit terms may use different day-count rules.
உங்கள் கணக்கீட்டைப் புரிந்துகொள்ளுங்கள்
Compound interest is the foundation of every long term investment in India. Each period the interest earned is added to the principal, and the next period's interest is calculated on the new larger balance. Over time the effect is dramatic. The compound interest calculator on this page lets you set the principal, the annual rate, the duration and the compounding frequency. The result shows the future value, the total interest earned and the effective annual rate.
ஒரே பார்வையில் நன்மைகள்
All five compounding frequencies in one place
Annual, half yearly, quarterly, monthly and daily. Toggle between them and see how the same nominal rate changes the future value.
Effective annual rate exposed
The calculator shows the effective annual rate (EAR) alongside the chosen nominal rate. Quarterly compounding at a nominal 8 percent becomes an EAR of 8.24 percent. Monthly compounding turns it into 8.30 percent. Daily compounding takes it to 8.33 percent.
Useful for FDs, bonds and corporate deposits
Every fixed income product in India carries a stated rate and a compounding frequency. Drop the values into the calculator to compute the actual maturity, then compare across instruments.
Visual chart of yearly balance growth
The growth chart shows the balance at each year end. The curve is gentle in the early years and accelerates in the later years, which is the visual signature of compounding.
Compound Interest Calculator ஐ எவ்வாறு பயன்படுத்துவது
- 1
Enter the principal
The starting amount. ₹1 lakh, ₹10 lakh, whatever you are evaluating.
- 2
Enter the annual interest rate
The nominal rate as quoted by the issuer. For an FD, this is the headline rate on the bank's website. For PPF, this is the rate notified by the Ministry of Finance.
- 3
Choose the compounding frequency
Annual for PPF and most government schemes. Quarterly for most bank FDs. Monthly for some corporate deposits. Daily for a few high yield instruments.
- 4
Set the duration
How many years the principal will stay invested. Longer durations dramatically amplify the compounding effect.
- 5
Read the future value and EAR
The future value is the corpus at maturity. The effective annual rate is the actual annual yield, useful for cross product comparisons.
உதாரணம்
₹1 lakh at 8% for 10 years, compounded quarterly
Quarterly compounding splits 8% into four periods of 2% each, and 10 years gives 40 periods. So the maturity is ₹1,00,000 × 1.02^40 = ₹2,20,804, of which ₹1,20,804 is interest. The effective annual rate is 1.02^4 − 1 = 8.24%. Switch the same deposit to annual compounding and it ends at ₹2,15,892; monthly gives ₹2,21,964 and daily ₹2,22,535.
- Principal
- ₹1,00,000
- Nominal rate
- 8% a year
- Compounding
- Quarterly (2% per quarter)
- Duration
- 10 years, 40 quarters
- Maturity value
- ₹2,20,804
- Interest earned
- ₹1,20,804
- Effective annual rate
- 8.24%
Going from annual to daily compounding adds about ₹6,600 over 10 years. A 1 percentage point higher rate would add far more, so compare rates first and frequency second.
எவ்வாறு கணக்கிடப்படுகிறது
The calculator uses A = P × (1 + r ÷ n)^(n × t), where P is the principal, r the nominal annual rate, n the number of compounding periods a year (1, 2, 4, 12 or 365) and t the duration in years. Interest earned is A − P.
The effective annual rate is (1 + r ÷ n)^n − 1: the single yearly rate that would give the same result. Use it to compare products that compound at different frequencies.
Fractional years use fractional periods, so 2.5 years of quarterly compounding is exactly 10 periods and 2.6 years is 10.4. Real deposits may treat incomplete periods differently, so a bank's quote for an odd tenure can differ slightly.
அடிக்கடி கேட்கப்படும் கேள்விகள்
What is the compound interest formula?
A = P × (1 + r/n)^(n × t). P is principal, r is the nominal annual rate as a decimal, n is compounding periods per year, and t is years. The How it works section above explains each part. Actual deposit contracts may use different conventions for incomplete periods.
What is the difference between simple interest and compound interest?
Simple interest is calculated only on the original principal each period and the interest does not earn further interest. Compound interest is calculated on the running balance, including previously earned interest. Over short periods the difference is small. Over long periods compound interest grows much faster. Almost every modern Indian financial product uses compound interest.
Why does compounding frequency matter?
More frequent compounding adds interest to the balance more often, which lets the next period's interest earn on a larger base. The same nominal rate of 8 percent grows to a slightly higher final value when compounded monthly compared to annually. The difference is captured in the effective annual rate.
Which Indian instruments compound at which frequency?
PPF, NSC and most small savings schemes compound annually. Most bank fixed deposits compound quarterly. Some corporate deposits and money market accounts compound monthly. Mutual fund returns are typically reported as annualised CAGR rather than a compounding frequency, since the underlying NAV moves continuously.
What is the effective annual rate?
The effective annual rate (EAR) is the actual annual yield once compounding frequency is taken into account. It is the rate that, if applied once per year, would produce the same final balance as the nominal rate compounded at the chosen frequency. EAR is the right number for comparing two instruments with different compounding frequencies.
Can compound interest be negative?
Mathematically the formula handles negative rates, but in practice negative compounding only applies to deflation scenarios or specific market linked products. For standard Indian deposits and savings products, the rate is always positive.
How is interest income taxed in India?
FD and RD interest is generally included in taxable income at the applicable rate. TDS is withholding, not the final tax liability. From 1 April 2025, the bank/post-office interest TDS threshold is ₹50,000 for others and ₹1,00,000 for senior citizens, subject to applicable conditions. PPF interest is exempt; EPF exemption depends on contribution and withdrawal rules. This calculator does not deduct tax.