COMPOUND INTEREST
You earn interest on your principal as well as on the interest already earned. Your money grows faster over time.
R = Rate of Interest per year (%)
$1,000 calculated on the new, higher amount. This $13,310
Suppose you invest $10,000 at an interest rate of 10% per year, compounded annually for 3 years.
Total Interest in 3 years = $13,310 - $10,000 = $3,310
Total Amount after 3 years = $13,310
KEY POINTS
DID YOU KNOW?
This is the power of compounding! It works silently in the background and creates big results over time.
Interest is earned on both principal and previously earned interest.
The longer the time, the greater the growth.
$13,310 After 3 Years
Ideal for long-term goals like retirement planning, wealth creation and education.
Small amounts invested regularly can grow into large sums over time.
Today
Thanks to Compound Interest!