Compound Interest Calculator
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All calculations are estimates and should not be considered financial advice.
What is Compound Interest?
- Compound interest means you earn returns not just on your original investment, but also on the accumulated interest over time
- Tax-deferred accounts like IRAs and 401(k)s maximize the compounding effect since you don’t pay taxes on gains until withdrawal
- Note: The average annual stock market return over the past 100+ years has been around 10%, though actual returns vary by investment type, market conditions, and time period (*** past returns do not guarantee future performance ***)