Compound Interest, SIP & CAGR Calculator
Calculate compound interest, monthly SIP investments and CAGR in your browser, with charts, worked examples and a plain-language guide to the formulas.
Guide: Compound Interest, SIP and CAGR Calculators
This page bundles three related investment calculators. The Compound Interest calculator projects how a one-time deposit grows when the interest it earns is reinvested. The SIP / Monthly calculator does the same for a fixed amount you add every month, which is how most people actually save. The CAGR calculator works backwards: given a starting value, an ending value and a number of years, it tells you the steady yearly growth rate that would connect them.
All three use the standard textbook formulas. Compound interest uses A = P × (1 + r/n)^(n×t), where P is the principal, r the annual rate, n the number of compounding periods per year and t the number of years. CAGR uses (Ending ÷ Beginning)^(1/years) − 1. Every calculation runs in your browser; nothing you type is sent to a server.
How to use it
- Pick a tab: Compound Interest for a lump sum, SIP / Monthly for regular contributions, or CAGR to measure past performance.
- Enter your amounts and the annual rate as a percentage (for example 7 for 7%).
- For compound interest choose how often interest is added: daily, monthly, quarterly or annually.
- Read the summary figures and the chart, which separates the money you put in from the growth it produced.
- Change one input at a time to see which factor matters most. Usually it is time.
Worked examples
- Lump sum: $10,000 at 8% compounded annually for 20 years grows to about $46,610. More than $36,000 of that is growth, not money you deposited.
- Monthly saving: $300 a month for 25 years at 6% gives a total contribution of $90,000 and a final value of roughly $208,000.
- CAGR: a portfolio that went from $50,000 to $80,000 in 5 years grew at about 9.86% per year, even if individual years were much better or worse.
More questions
Why does compounding frequency change the result so little?
Going from annual to monthly compounding adds only a small amount, because the extra interest-on-interest is earned over short periods. The rate and the number of years have a far bigger effect.
Is CAGR the same as average annual return?
No. A simple average of yearly returns ignores the order of gains and losses. CAGR is the single constant rate that gives the same start and end values, so it is the fairer figure for comparing investments.
Do the results include tax, fees or inflation?
No. They are pure mathematical projections. To estimate a real return, subtract expected fees and inflation from the rate you enter, for example 7% − 1% fees − 2.5% inflation ≈ 3.5%.
Is this financial advice?
No. The calculators are educational tools that help you understand how money grows. Talk to a qualified adviser before making investment decisions.