APY Calculator
Calculate the annual percentage yield from a nominal rate and compounding frequency.
APY (Annual Percentage Yield) is the number that lets you compare savings accounts fairly, because it folds compounding frequency into a single effective rate. A 5% nominal rate compounded monthly actually yields more than 5% over a year — and daily compounding yields a touch more still. Banks advertise APY precisely because it's higher than the nominal rate.
Enter the nominal (stated) annual rate and how often it compounds, and this calculator returns the true APY, so you can compare a monthly-compounding account against a daily-compounding one on equal footing.
How to use APY Calculator
- 1
Enter your figures
Fill in the fields with your numbers.
- 2
Read the results
The calculation updates instantly.
- 3
Adjust to compare
Change any input to explore scenarios.
Features
- Instant calculation as you type
- Clear, itemized results
- Runs privately in your browser
Frequently asked questions
Common mistakes to avoid
- Entering a percentage as a decimal (0.08) instead of a whole number (8).
- Comparing options on one metric alone instead of the full picture.
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