How to use this savings APY calculator
Use Single account when you want to estimate the future value of one savings scenario. Enter the starting balance, APY, monthly contribution, and time horizon.
Use Compare two accounts when you want to see how two different APYs may affect the result while keeping the starting balance, monthly contribution, and time horizon the same.
Keeping those other assumptions consistent makes it easier to focus on the difference between the two APYs.
Understanding your results
The estimated ending balance is the projected balance at the end of the selected time horizon. It includes your starting balance, monthly contributions, and estimated interest.
Total deposited shows the starting balance plus the contributions made during the selected period.
Interest earned shows how much of the projected ending balance comes from estimated interest rather than the money deposited into the account.
The results also show the starting balance, monthly contribution, and APY used in the estimate so you can review the assumptions behind the projection.
In comparison mode, both accounts use the same starting balance, monthly contribution, and time horizon, helping you see how the different APYs affect the projected results.
What can affect your savings estimate
Starting balance
Your starting balance is the amount already available to earn interest at the beginning of the projection.
A larger starting balance can generally produce more interest over the same period because more money is earning the entered APY from the outset.
APY
APY, or annual percentage yield, reflects the annual return on a deposit account after taking compounding into account.
A higher APY can produce a larger projected balance when the starting balance, contributions, and time horizon remain the same. Even relatively small differences in APY can become more noticeable over longer periods or on larger balances.
Because APY already reflects the annual effect of compounding, you do not need to choose a separate compounding frequency when using this calculator.
Monthly contributions
Regular contributions can have a significant effect on the amount accumulated over time.
Increasing the amount contributed each month raises the total amount deposited and can also give more money an opportunity to earn interest during the projection.
Time horizon
The amount of time money remains in savings can materially affect the projected result.
A longer time horizon provides more opportunity for both the starting balance and ongoing contributions to benefit from interest, assuming the entered APY remains available.
APY vs. a nominal interest rate
APY and a nominal annual interest rate are related, but they are not interchangeable.
Use this Savings APY Calculator when a savings account or scenario is quoted directly with an APY. APY already reflects the annual effect of compounding, so you do not need to enter a separate compounding frequency.
If instead you want to start with a nominal annual interest rate and compare different compounding frequencies such as daily, monthly, quarterly, or annually, use the MarketReview Compound Interest Calculator.
Why comparing APYs can be useful
Two savings accounts with the same starting balance and contribution pattern can produce different projected results when their APYs differ.
Comparison mode lets you evaluate those differences without changing the other major savings assumptions.
When comparing real accounts, however, APY is only one consideration. Fees, minimum-balance requirements, withdrawal restrictions, rate tiers, promotional conditions, and how often a variable APY may change can also matter.
Important assumptions and limitations
This calculator is a savings-planning illustration, not a bank quote or a guarantee of future interest or account value.
The estimate assumes that the APY you enter remains unchanged throughout the selected time horizon. Actual savings-account APYs can rise or fall over time.
The calculator also assumes that the entered monthly contribution continues throughout the projection. Withdrawals, skipped deposits, additional deposits, taxes, and account fees are not included unless reflected in the inputs available to you.
Actual financial institutions may use different balance methods, interest-crediting practices, transaction timing, rate tiers, fees, minimum-balance requirements, and other account terms.
For these reasons, an actual savings-account balance may differ from the estimate shown here.
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Explore more about savings and banking
Visit MarketReview's Banking section for more information about savings accounts, APY, CDs, bank products, and other ways banks calculate and advertise deposit returns.