Calculate maturity balances, total interest accumulated, and explore how higher compounding frequencies increase overall yield.
Calculate interest on interest with flexible compounding cycles
₹1,00,000
₹1,68,506
₹2,68,506
Year-by-year accumulation showing total principal invested and returns generated.
| Year | Invested Amount | Estimated Returns | Total Value |
|---|---|---|---|
| Year 1 | ₹1,00,000 | +₹10,381 | ₹1,10,381 |
| Year 2 | ₹1,00,000 | +₹21,840 | ₹1,21,840 |
| Year 3 | ₹1,00,000 | +₹34,489 | ₹1,34,489 |
| Year 4 | ₹1,00,000 | +₹48,451 | ₹1,48,451 |
| Year 5 | ₹1,00,000 | +₹63,862 | ₹1,63,862 |
| Year 6 | ₹1,00,000 | +₹80,873 | ₹1,80,873 |
| Year 7 | ₹1,00,000 | +₹99,650 | ₹1,99,650 |
| Year 8 | ₹1,00,000 | +₹1,20,376 | ₹2,20,376 |
| Year 9 | ₹1,00,000 | +₹1,43,254 | ₹2,43,254 |
| Year 10 | ₹1,00,000 | +₹1,68,506 | ₹2,68,506 |
With simple interest, you only earn returns on your original principal deposit. With compound interest, your earnings are credited back into the principal pool, meaning subsequent interest calculations are applied to a larger baseline. Over a 20-year period, compound interest can generate 300% to 500% more money than simple interest!
Compound interest is interest calculated on the initial principal, which also includes all of the accumulated interest from previous periods. In simple terms, it is “interest on interest,” causing balances to grow at an accelerating rate over time.