Compound Interest Comparison
Compare two compound interest scenarios side by side. Different rates, principals, contributions. See difference over time.
Scenario A
Scenario B
Compound Interest Formula
Formula: P × (1 + r)^n + C × ((1 + r)^n - 1) / r. P = principal, r = rate, n = years, C = annual contribution. Compound frequency: annually (assumed). Higher rate = exponential growth. Longer time = more growth. Contributions compound too.
Why Compare?
Compare to: see rate impact (5% vs 7%), evaluate investment options, decide on risk/reward, plan savings strategy. Small rate differences compound significantly over time. Example: $10k at 5% for 30 years = $43k, at 7% = $76k. Rate matters more than initial principal over long periods.