APY Calculator
Enter the stated annual rate and the number of compounding periods per year to calculate APY with the formula shown.
A QUICK WALKTHROUGH
How to use this tool
- Enter the nominal annual rate and compounding periods per year.
- Select Calculate APY.
- Review the APY and formula; this calculator does not recommend investments or rates.
Standard compound-interest formula
APY = (1 + r ÷ n)^n − 1, where r is the nominal annual rate as a decimal and n is the number of compounding periods per year. The result assumes the rate and frequency stay constant for one year.
Clear input boundaries
Enter a finite nominal rate from −100% through 1,000,000% and a positive whole number of periods from 1 through 10,000. A rate of −100% or below is rejected because the formula base is not positive.
Local calculation only
All parsing and arithmetic happen in your browser. This calculator provides a mathematical result only and is not investment, financial, tax, or legal advice.
GOOD TO KNOW
Common questions
What is APY?
APY is the effective one-year rate after applying the stated nominal annual rate at the selected compounding frequency.
What does compounding frequency mean?
It is the number of times interest is applied during one year, such as 12 for monthly compounding or 365 for daily compounding.
Can I enter a negative rate?
Yes, down to but not including −100%. The formula must have a positive base.
Does this recommend an investment?
No. It only evaluates the formula using the values you provide.