Results
End Balance
Starting Amount
Total Contributions
Total Interest
| Year | Deposit | Interest | Ending balance |
|---|---|---|---|
| 1 | $32,000.00 | $1,526.53 | $33,526.53 |
| 2 | $12,000.00 | $2,338.12 | $47,864.65 |
| 3 | $12,000.00 | $3,198.41 | $63,063.06 |
| 4 | $12,000.00 | $4,110.31 | $79,173.37 |
| 5 | $12,000.00 | $5,076.93 | $96,250.30 |
| 6 | $12,000.00 | $6,101.55 | $114,351.84 |
| 7 | $12,000.00 | $7,187.64 | $133,539.48 |
| 8 | $12,000.00 | $8,338.90 | $153,878.38 |
| 9 | $12,000.00 | $9,559.23 | $175,437.61 |
| 10 | $12,000.00 | $10,852.79 | $198,290.40 |
About Investing
Investing is the act of using money to make more money. The Investment Calculator can help determine one of many different variables concerning investments with a fixed rate of return.
Variables involved
For any typical financial investment, there are four crucial elements that make up the investment.
- Return rate – For many investors, this is what matters most. On the surface, it appears as a plain percentage, but it is the cold, hard number used to compare the attractiveness of various sorts of financial investments.
- Starting amount – Sometimes called the principal, this is the amount apparent at the inception of the investment.
- End amount – The desired amount at the end of the life of the investment.
- Investment length – The length of the life of the investment.
- Additional contribution – Commonly referred to as annuity payment in financial jargon, investments can be made without them.
Different Types of Investments
Our Investment Calculator can be used for almost any investment opportunity that can be simplified to the variables above.
CDs
A simple example of a type of investment that can be used with the calculator is a certificate of deposit, or CD, which is available at most banks. A CD is a low-risk investment.
Bonds
Risk is a key factor when making bond investments. In general, premiums must be paid for greater risks. For example, buying the bonds or debt of some companies rated at a risky level by the agencies that determine levels of risk in corporate debt.
Stocks
Equity or stocks are popular forms of investments. While they are not fixed-interest investments, they are one of the most important forms of investments for both institutional and private investors.
Real Estate
Another popular investment type is real estate. A popular form of investment in real estate is to buy houses or apartments. The owner can then choose to sell them or rent them out.