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Power of Compounding Calculator

Growth is something we are all working towards, whether it is financial growth or professional growth. While growth on a personal scale varies for everyone, we can all achieve exponential financial growth through our investments. Compounding makes it possible!

Principal Amount (₹)
Interest Rate (% per annum)
Period (in years)
Compound interval
  • Principal Amount

  • Interest Rate (% per annum)

  • Period

Total Maturity Amount


Everyone has long-term and short-term financial goals. The growth of your money depends on the returns generated on your investments. This is where the power of compounding comes into the picture.

Compounding grows your money manifold. In simple terms, compounding is the compound interest that increases the value of your investment by reinvesting the interest/returns along with the principal amount. The key factor is the reinvestment of your dividends or interest income earned on your principal investment amount.

With compounding, the ROI (Return on Investment) increases with an increase in the principal amount. The ROI rises further with increasing compounding frequency - monthly, quarterly, half-yearly, or yearly. For example, let us assume that you invest ₹1,00,000 with average annual returns of 15% per annum compounded quarterly. Then, three years later, the value of your investment at redemption will be ₹1,55,545.

Thus, the power of compounding helps to multiply your wealth at a faster rate. To find out the level of compounding, you can use the power of the compounding calculator.

Compound Interest Calculator

Once you input the requisite values, the compound interest calculator computes your results within seconds. Thus, a compounding calculator is a fast and time-saving tool, as you no longer need to carry out cumbersome manual calculations.

In a nutshell, a compound interest calculator computes the value of your investments after a set number of periodic investments or a single lump sum investment for a stipulated time frame at a given rate of return. A compounding calculator is an indispensable tool for investment planning.

Disclaimer: The above results are for illustration purpose only. Please get in touch with a professional advisor for a detailed suggestion. The calculations are not based on any judgments of the future return of the debt and equity markets / sectors or of any individual security and should not be construed as a promise on minimum returns and/or safeguard of capital. While utmost care has been exercised while preparing the calculator, NIMF does not warrant the completeness or guarantee that the achieved computations are flawless and/or accurate and disclaims all liabilities, losses and damages arising out of the use or in respect of anything done in reliance of the calculator. The examples do not purport to represent the performance of any security or investments. Given the individual nature of tax consequences, each investor is advised to consult his/her professional tax/financial advisor before making any investment decision.

The information/illustrations provided herein is meant only for general reading purposes and the views being expressed only constitute opinions and therefore cannot be considered as guidelines, recommendations or as a professional guide for the readers. The document has been prepared on the basis of publicly available information, internally developed data and other sources believed to be reliable. The sponsor, the Investment Manager, the Trustee or any of their directors, employees, associates or representatives (‘entities & their associates”) do not assume any responsibility for, or warrant the accuracy, completeness, adequacy and reliability of such information. Recipients of this information are advised to rely on their own analysis, interpretations & investigations. Readers are also advised to seek independent professional advice in order to arrive at an informed investment decision. Entities & their associates including persons involved in the preparation or issuance of this material, shall not be liable in any way for any direct, indirect, special, incidental, consequential, punitive or exemplary damages, including on account of lost profits arising from the information contained in this material. Recipient alone shall be fully responsible for any decision taken on the basis of this document


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