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- To calculate compound interest with monthly dividends, you need to1:
- Divide your annual interest rate (decimal) by 12 and then add one to it.
- Raise the resulting figure to the power of the number of years multiplied by 12.
- Multiply your step 2 result by your principal balance (P).
- Deduct the principal balance from your step 3 result if you want just the interest.
Learn more:✕This summary was generated using AI based on multiple online sources. To view the original source information, use the "Learn more" links.Monthly compound interest means that our interest is compounded 12 times per year:
- Divide your annual interest rate (decimal) by 12 and then add one to it.
- Raise the resulting figure to the power of the number of years multiplied by 12.
www.thecalculatorsite.com/finance/calculators/com…Compound Interest Calculator
- Step 1: Initial Investment Initial Investment Amount of money that you have available to invest initially.
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