CD Calculator
Calculate earnings on a Certificate of Deposit with compound interest.
Final Balance$10,511.62
Interest Earned$511.62
Effective APY5.116%
Return5.12%
Balance Over Time
Certificate of deposit (US CD / term deposit): a locked principal that compounds until maturity. Same compounding math as the compound-interest page, with CD term and compounding defaults.
Formula
A = P(1 + r/n)^(nt). APY = (1 + r/n)^n − 1.
How to calculate
- Enter the deposit, the APY or nominal rate, and the term.
- Pick how often the CD compounds (daily, monthly, quarterly).
- Interest earned is ending balance minus principal. Early-withdrawal penalties are not modeled.
Example
$10,000 in a 12-month CD at 4.5% compounded monthly ends near $10,459.
Common mistake
APY already includes compounding. Do not compound an APY again unless the field is a nominal rate.
FAQ
How is CD interest calculated?
Compound the deposit for the term at the stated rate and frequency. Ending balance minus principal is interest.
Is a CD the same as a savings account?
A CD usually locks the money until maturity in exchange for a fixed rate. The compound-interest page is better for open-ended savings with ongoing deposits.