Enter Deposit amount ($), Interest rate (%) and Term (months) and the remaining scenario settings to review final cd balance with this tool. Maturity interest is the modeled amount earned over the deposit period.
A Certificate of Deposit (CD) earns compound interest over a fixed term. Here's the math:
The CD formula:
Key insight: CDs offer guaranteed returns with FDIC insurance. Longer terms and higher rates = more interest, but you can't access your money without penalty.
| Period | Balance | Interest Earned | Cumulative |
|---|---|---|---|
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Click "Calculate" to see your CD growth |
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Future value = P(1 + r/n)^(nt) + PMT × [((1 + r/n)^(nt) − 1) ÷ (r/n)]
The exact terms used depend on the contribution and compounding frequency selected.The calculation links Deposit amount ($), Interest rate (%) and Term (months) to final cd balance. Maturity interest is the modeled amount earned over the deposit period. An annual rate must be applied over the actual term, not multiplied by the number of months directly.
Enter Deposit amount ($), Interest rate (%) and Term (months) and the remaining scenario settings to review final cd balance with this tool. Maturity interest is the modeled amount earned over the deposit period.
Project the maturity value of a certificate of deposit from its principal, term and selected compounding convention. Compare term lengths without confusing rate and yield.
Maturity interest is the modeled amount earned over the deposit period. An annual rate must be applied over the actual term, not multiplied by the number of months directly.
Prepare Deposit amount ($), Interest rate (%), Term (months), Compound frequency, Early withdrawal penalty (months) and Tax rate (%). Check whether the quoted figure is a nominal interest rate or APY and select a compatible compounding setting.
Maturity interest is the modeled amount earned over the deposit period. An annual rate must be applied over the actual term, not multiplied by the number of months directly. Early-withdrawal penalties, callable terms, renewal rates, taxes and institution-specific interest-crediting rules are not guaranteed by the estimate.
Use the full settings in the worked-example table. They produce Final CD Balance: $10457.65. Compare the method and units as well as the displayed number.
The displayed relationship is Future value = P(1 + r/n)^(nt) + PMT × [((1 + r/n)^(nt) − 1) ÷ (r/n)] The exact terms used depend on the contribution and compounding frequency selected. Check whether the quoted figure is a nominal interest rate or APY and select a compatible compounding setting.
Early-withdrawal penalties, callable terms, renewal rates, taxes and institution-specific interest-crediting rules are not guaranteed by the estimate. For a transaction or account decision, compare the inputs with the applicable statement, contract or official rules.
Worked cd calculator example. Set Deposit amount ($) = 10000; Interest rate (%) = 4.5; Term (months) = 12 months; Compound frequency = Quarterly; Early withdrawal penalty (months) = 3; Tax rate (%) = 0. The corresponding output is Final CD Balance: $10457.65. Maturity interest is the modeled amount earned over the deposit period.
Project the maturity value of a certificate of deposit from its principal, term and selected compounding convention. Compare term lengths without confusing rate and yield.
Check whether the quoted figure is a nominal interest rate or APY and select a compatible compounding setting.
| Field | Example value | Entry check |
|---|---|---|
| Deposit amount ($) | 10000 | Use the amount for this scenario in the currency and period shown by the field. |
| Interest rate (%) | 4.5 | Enter a percentage in the form requested by the field, keeping its stated time basis. |
| Term (months) | 12 months | Use the period unit in the field label; months and years are not interchangeable. |
| Compound frequency | Quarterly | Check the selected interval against the payment, deposit or growth assumptions. |
| Early withdrawal penalty (months) | 3 | Use the period unit in the field label; months and years are not interchangeable. |
| Tax rate (%) | 0 | Enter a percentage in the form requested by the field, keeping its stated time basis. |
Relationship used for this example: Future value = P(1 + r/n)^(nt) + PMT × [((1 + r/n)^(nt) − 1) ÷ (r/n)] The exact terms used depend on the contribution and compounding frequency selected.
Maturity interest is the modeled amount earned over the deposit period. An annual rate must be applied over the actual term, not multiplied by the number of months directly.
| Output | Displayed result |
|---|---|
| Final CD Balance | $10457.65 |
With these settings, final cd balance is $10457.65. Use the same units and calculation mode when reproducing this example.
Maturity interest is the modeled amount earned over the deposit period. An annual rate must be applied over the actual term, not multiplied by the number of months directly. Early-withdrawal penalties, callable terms, renewal rates, taxes and institution-specific interest-crediting rules are not guaranteed by the estimate.
Replace the illustrative deposit amount ($) value (10000) with your own value, then complete the other inputs for the same scenario. Check whether the quoted figure is a nominal interest rate or APY and select a compatible compounding setting.